How to carry out CDD: a step-by-step guide for UK accountants
Mehmood Rajoka10 min readUpdated May 2026
In brief: To carry out Standard CDD, collect and verify the client's photo ID and proof of address, identify beneficial owners for corporate clients above the 25% threshold, assess the client's risk level, and document every decision with supporting evidence.
Key points
- Verify photo ID (passport or driving licence) and proof of address dated within 3 months
- For corporate clients, identify all beneficial owners above 25% and verify their identity
- Assess risk level — Low, Medium, or High — and document the rationale
- Record the outcome and retain evidence for a minimum of five years
- Apply EDD where the client is a PEP, high-risk jurisdiction, or has complex structures
A practical step-by-step guide to carrying out Standard Customer Due Diligence on individual and corporate clients.