The UK’s register of company information is going to be reformed to clamp down on fraud and money laundering, the government announced on Friday, 18th September.
Under the new plans, directors will not be able to be appointed until their identity has been verified by Companies House.
The aim is to increase the reliability of the data publicly available, by showing who is behind each company so that businesses have greater assurance when they are do businesses with other companies. As many small businesses consult the register to research potential suppliers and partners the hope is that these changes will give businesses confidence in who they are doing business with, with greater accuracy of data on the register, without impacting the speed of service.
Compulsory identity verification is expected to help trace people who are committing fraud or money laundering and Companies House will be given greater powers to query, investigate and remove false information.
The full details of this change are available here.
Julie Downie, Accounts Manager