What Happens If a PSC Doesn’t Complete Identity Verification?

If a person with significant control (PSC) does not complete Companies House identity verification by their deadline, there are real legal consequences. This article explains what happens and why it is important to act before time runs out.

Public register annotation

Companies House will add a visible note to the public register against any PSC who has not completed verification. This annotation is publicly searchable — anyone looking up your company will see that the PSC has not verified their identity. For businesses that depend on trust and transparency, this can cause reputational damage.

Filing restrictions

A company with unverified PSCs may face restrictions on its ability to file certain documents with Companies House. This can affect the company’s ability to update its records, file confirmation statements, and maintain good standing.

Financial penalties

PSCs who fail to comply with their verification obligations may face financial penalties. The amount depends on the circumstances, including how long the non-compliance has continued and whether there were reasonable excuses for the delay.

Criminal liability

In serious cases, failing to complete identity verification is a criminal offence under the Economic Crime and Corporate Transparency Act. This can apply to PSCs who deliberately avoid verification or who continue to act in their role without having verified their identity after the deadline.

Impact on the company

An unverified PSC does not only affect themselves — the company is also affected. Companies House may record the non-compliance against the company’s record, which can raise concerns for:

• Banks and financial institutions conducting due diligence
• Potential investors or buyers
• Clients and partners who check Companies House records
• Regulators in sectors that require good corporate standing

How to avoid these consequences

The simplest way to avoid any of these outcomes is to complete your identity verification well before your deadline. You can verify your identity at any time — you do not need to wait for your 14-day window. Once verified, keep your personal code secure and provide it for each PSC role when required.

Companies House ID Verification offers a guided service at a fixed £19 fee for UK and international PSCs. Start your verification today and remove the risk of non-compliance.