Fraudsters are already exploiting the UK’s upcoming
corporate transparency reform, sending phishing emails to company directors
about supposed identity verification requirements.
Companies House has warned that these messages are
fraudulent and urged recipients not to follow any of their instructions. “People claiming to be from Companies House have
called companies and asked for details of their company’s directors,” Companies House cautioned on Monday.
“After being advised there’s a “discrepancy with the
information held on the register”, the caller asks for information such as full
dates of birth for directors.”
New Era for Corporate Transparency
From 18 November 2025, directors and people with
significant control over UK companies must verify their identity with Companies
House. The change forms part of a wider government plan to improve the
integrity of corporate records and reduce fraudulent activity.
The rules will affect an estimated six to seven
million individuals. New directors will need to verify their identity on
appointment, while existing directors will do so when filing their next
confirmation statement.
Significant shareholders will also be required to
complete the process according to their registration details. Identity verification will be carried out through the official GOV.UK channels, either online or via the app, with the transition period
reportedly running for 12 months.
Early Fraud Risks
Even before the system launches, fraudsters are using
it as a hook for phishing attempts. Companies House said: Officials have stressed that only GOV.UK should be
used for verification, and directors should remain cautious of unsolicited
requests.
Read more: UK Company Directors Must Verify Identity or Risk Losing Role Under New Law Starting November
The identity checks represent one of the most
significant overhauls of UK corporate governance in decades. However, with phishing
scams already appearing, the reform faces an early test in balancing tighter
oversight with protecting directors from new cyber risks.
“Banks invest vast sums into double-checking Companies
House data, distracting from their efforts to tackle economic crime,” Jonathan Frost, the Director of Global Advisory for
EMEA at BioCatch, recently commented.
“Like banks, the agency should focus on behavioural insights, monitoring device
use, behavioural patterns, and anomalies across the lifecycle of a company, to
detect suspicious activity without adding friction for genuine users.”
A YouGov survey in June showed strong backing for
the reforms, with 81% of senior business decision-makers supporting mandatory
ID checks for directors. Nearly three-quarters (73%) said the process would
likely be straightforward for directors and people with significant control,
while 60% reported they were already aware of the upcoming legal requirements.
This article was written by Jared Kirui at www.financemagnates.com.
