Companies House sets out "fit and proper" test for Authorised Corporate Service Providers
Companies House has published guidance on how the registrar will judge whether an applicant, or an existing ACSP, is fit and proper to carry out ACSP functions. Under section 1098B of the Companies Act 2006, the registrar must refuse registration if an applicant fails the test. Registered ACSPs will also be monitored on an ongoing basis.
The assessment covers four areas:
- Eligibility and competence: whether the ACSP has appropriate anti-money laundering supervision, and whether any connected entity has been dissolved, is being struck off, or is in insolvency proceedings.
- Criminal, regulatory and financial history: including bankruptcy, director disqualification, criminal convictions, disciplinary findings, and repeated failures to meet Companies House obligations.
- Honesty, integrity and conduct: including false or misleading filings and failure to respond to Companies House queries.
- Compliance history: how the ACSP carries out verification, reverification and filing activity.
Each case is judged on its own circumstances, weighing how serious the issue was, when it happened, and whether it has been resolved. Having AML supervision in place does not on its own guarantee a pass. ACSPs that fall short can have their status suspended or cancelled.
Why it matters for credit professionals
ACSPs verify the identities behind company filings. A stricter test for who can do that work supports a more reliable Companies House register, which is the data credit teams depend on for onboarding, credit checks and fraud prevention. If your organisation acts as an ACSP, or relies on one, it's worth reviewing the criteria now.