Company directors and persons with significant control of a business will have to verify their identity with Companies House from today.

It is aiming to make it harder for people to set up companies or appoint directors using fake or stolen identities, while making it easier to expose disqualified directors and link multiple directorships to one person – helping to identify criminal networks.

Not complying with identity verification requirements on time is deemed as an offence and Companies House says it will take enforcement action against those who don’t do so – including financial penalties, referral to The Insolvency Service and prosecution through court.