People with Significant Control explained

There are many responsibilities when running a limited company, including filing various documents with Companies House to maintain company statutory registers. One of these requirements is registering the company’s PSC information and updating it when there are any changes to the control of your company.  

What is the definition of a PSC? 

A PSC is usually someone who: 

• has more than 25% shares or voting rights in your company 
• can appoint or remove a majority of the directors of your company 
• can influence or control your company 

Your shareholder register (also known as a register of members) should be maintained to state the numbers and classes of shares held by each shareholder. The rights attaching to each class of share – including voting rights and any rights such as the power to remove directors – should be included in the company’s articles of association. There may also be a shareholder agreement with further details, but this is not a mandatory company document. 

Further guidance about PSCs in specific circumstances can be found here. 

How to identify a PSC 

Where a company is owned by one person who is also the sole director of the company, it is easy to identify that this sole director-shareholder is the PSC. In other circumstances it may be more complicated. For instance: 

• there are several shareholders with different classes of shares 
• director-shareholders have transferred some of their shares to their spouse or other close family members 
• another company holds some of the shares 
• shares are held by a Trust  
• someone holds share options or convertible debt instruments 

What are some common difficulties when identifying PSCs? 

Identifying PSCs is not always straightforward. Some trickier situations include: 

• Indirect ownership – a person holds shares in company A, which holds shares in your company. They are not a shareholder in your company but could still be a PSC. 
• Corporate shareholders – a company holds shares in your company. One or more of that company’s shareholders could be PSCs. Or, if its shares are listed on a stock exchange, the corporate shareholder could be a registerable Relevant Legal Entity (RLE) making the company itself the PSC. 
• Trusts – the trustee cannot be a PSC of the company, but beneficiaries or settlors of trusts can be in some circumstances. 

You should always seek professional advice if it is unclear who the PSCs of your company are.  

Why does the PSC register exist? 

The requirement to register the PSC for your company was brought in by the Government in 2016 with the aim of having more transparency about the ultimate owners of UK companies and assets. There had previously been concerns that it was too easy for criminals to hide their identities and the proceeds of crime though complex company ownership structures. In the past this register could be kept locally by companies, but PSC information must now be notified to Companies House, to be kept centrally instead.  

Why does the PSC register matter for my company? 

You must identify and register your PSCs when you set up or takeover a limited company. And if the PSCs for your company change, you must tell Companies House within 14 days using the Companies House WebFiling service, compatible software or on a paper form through the post. 

Identity verification 

You must also ensure that PSCs have their identities verified for Companies House purposes. Once verified, PSCs will receive a personal code which needs to be provided to Companies House. The deadline for identity verification depends on whether the PSC is a director as well or just a PSC. 

A director and PSC must provide their personal code showing they have verified their identity: 

• when incorporating a new company, or  
• for a company which existed before 18th November 2025, within 14 days of filing the next confirmation statement.  

A PSC who is not also a director of the company must provide their personal code: 

• within 14 days of incorporating a new company, or 
• for a company which existed before 18th November 2025, by the 14th of your birth month after this date. 

For help on verifying your identity as a director or PSC for Companies House, see our article here and our Q&A here. 

What happens if my company or its PSCs don’t comply with the PSC requirements?  

Identifying PSCs 

If you don’t keep the PSC register up to date or the company’s PSCs do not verify their identities by the required deadlines, there are several possible consequences. Companies have the right to serve notice on: 

• PSCs 
• people they suspect of being PSCs and  
• people who they believe know who the PSCs are 

to provide the company with sufficient information to keep the PSC register updated.  

If PSCs do not reply to the notice within 14 days, the company can impose sanctions on the PSC such as refusing to register share transfers or withholding dividends. The company must also notify Companies House that they have imposed a restriction on a PSC and when they lift a restriction.  

If the company doesn’t meet its duties to identify PSCs, serve notice on the PSCs to gain that information and notify Companies House of their actions, the company and the officers of the company will have committed an offence. Penalties can include fines, and for persistent failures, prosecution and striking off.  

PSC register 

If the company doesn’t notify Companies House of who PSCs are or changes to the PSCs within 14 days, it is a company offence.  

Identity verification 

Companies House have the power to issue fines and enforcement actions through courts or the Insolvency service. See our article here for more details.  

How TaxAssist Accountants can help 

TaxAssist Accountants have helped many limited companies deal with their PSC queries and are trusted, local experts in company compliance. 

TaxAssist can help you manage Companies House filings and resolve identity verification issues. For a free initial consultation call 01582 760 154 or contact us here.  

Last updated: 30th March 2026