TL;DR
A PSC is someone who owns or controls a big chunk of a company – usually more than 25%. Think of it as owning more than a quarter of a pizza. If that's you, Companies House needs to know who you are.
What is a PSC?
The Simple Explanation
PSC stands for Person with Significant Control.
It's the government's way of asking: "Who really owns and controls this company?"
Before PSC rules existed, people could hide behind companies. Criminals used this to commit fraud, launder money, and evade taxes. Now, Companies House keeps a public list of everyone who has significant control over UK companies.
The Pizza Rule
Imagine a company is a pizza cut into 4 equal slices.
Each slice is 25% of the company.
If you own more than one slice (more than 25%), you're a PSC.
Examples:
- • Own 26% = PSC (more than a quarter)
- • Own 25% = NOT a PSC (exactly a quarter doesn't count)
- • Own 50% = PSC (half the pizza)
- • Own 100% = PSC (the whole pizza!)
4 Ways to Be a PSC
Owning shares isn't the only way. You're a PSC if ANY of these apply:
Owns more than 25% of shares
If you own more than a quarter of the company's shares, you're a PSC.
Example: You own 30 out of 100 shares = you're a PSC
Has more than 25% of voting rights
Voting rights let you have a say in company decisions. More than 25% makes you a PSC.
Example: Some shares come with extra votes, so check your articles
Can appoint or remove directors
If you have the power to hire and fire directors, you're a PSC.
Example: This is common in investment deals or family companies
Has significant influence or control
If you can significantly influence how the company is run, you might be a PSC.
Example: This could be through a shareholder agreement
What If a Company Owns Another Company?
Sometimes a company (not a person) owns more than 25% of another company.
In this case, the owning company is called an RLE (Relevant Legal Entity).
But Companies House wants to know who the real people are. So you need to keep tracing back until you find the humans at the top.
Learn about Corporate PSCs (RLEs)Why Does This Matter?
If you're a PSC, you must verify your identity with Companies House.
If you don't, your company can't file its Confirmation Statement. This could lead to fines, or even your company being struck off.
Learn why PSCs must verifyQuick Examples
Sarah owns 100% of her consulting company
She's a PSC (owns more than 25%)
Tom and his brother each own 50% of their shop
Both are PSCs (each owns more than 25%)
Alice owns 20% of a startup (4 other founders own 20% each)
She's NOT a PSC (owns 25% or less)
Mike is the MD and owns 60% of his company
He's BOTH a director AND a PSC (but only verifies once!)
Think You Might Be a PSC?
Use our interactive tool to check, or get verified now.