After several delays and a period of uncertainty around the future of company accounts filing, Companies House has now confirmed that a number of significant changes will come into effect from April 2028. These reforms form part of the wider Economic Crime and Corporate Transparency Act and are intended to improve the quality and reliability of information held on the Companies House register.
Although 2028 may seem some way off, the changes will affect millions of UK companies and it is worth understanding what they could mean for your business.
One of the biggest changes is that small companies and micro entities will be required to file a profit and loss account with Companies House. At present, many smaller businesses are able to keep this information private. The new rules will mean the information must be submitted as part of the accounts filing process. However, following concerns raised by businesses and professional bodies, Companies House has confirmed that small companies and micro entities will be able to choose not to have their profit and loss account published on the public register. Further details on how this process will work are expected in due course.
Another important change is the move to fully digital accounts filing. From April 2028, all company accounts will need to be submitted using commercial software. Companies House will close both its paper filing route and its existing online accounts filing service. Businesses that currently prepare and file accounts themselves using these methods will need to ensure they have suitable software in place before the deadline.
The reforms will also bring an end to abridged accounts. Companies that currently use this option will need to prepare and file accounts under the revised requirements from April 2028 onwards.
For many businesses, these changes may not have a significant day to day impact if their accounts are already prepared and submitted through professional advisers using compliant software. However, for directors who file their own accounts, or businesses still relying on paper based processes, the reforms may require some planning and changes to existing procedures.
The good news is that there is time to prepare. Companies House has confirmed that the changes will not take effect until April 2028, giving businesses around 21 months to understand the new requirements and make any necessary arrangements.
As further guidance becomes available, particularly around the opt out process for publication of profit and loss accounts, we will continue to keep clients informed.
If you would like to discuss how these changes may affect your business or would like advice on your accounts filing process, please speak to your usual Forrester Boyd contact.
All data and figures referred to in our news section are correct at the date of publishing and should not be relied upon as still current.
