Companies House Accounts Filing Reforms: What You Need to Know

Companies House has confirmed that significant changes to how UK companies file their annual accounts will come into force from 1 April 2028. The reforms introduced by the Economic Crime and Corporate Transparency Act 2023, were originally due to take effect in April 2027, but following extensive stakeholder engagement the government has postponed implementation by one year, giving all companies at least 21 months to prepare.

Here is a summary of what is changing and what it means for your business.

Small companies and micro-entities must file profit and loss accounts

Currently, small companies and micro-entities can file simplified or abridged accounts that omit the profit and loss account entirely. From 1 April 2028, this option disappears: all small companies and micro-entities will be required to file a profit and loss account with Companies House.

The government has recognised the sensitivity of this change for owner-managed businesses. Small companies and micro-entities will be able to opt out of having their profit and loss account published on the public register, meaning it will be filed with Companies House but kept off the publicly searchable register. Companies House has confirmed it will set out the mechanics of that opt-out process in due course.

Abridged accounts will be abolished

The option to file abridged accounts — a reduced form of accounts that omits certain information — is being removed entirely. Companies that currently rely on this route will need to file full accounts from 1 April 2028.

All accounts must be filed via commercial software in iXBRL format

From 1 April 2028, all companies must file their accounts using commercial software that produces accounts in inline eXtensible Business Reporting Language (iXBRL) format. The current web-based and paper filing routes for accounts will close. iXBRL is a structured digital format that makes financial data both human-readable and machine-readable, improving data quality on the register.

If you already use an accountant or accounting software to file, there is a good chance you will not need to change your approach, but it is worth confirming this with your accountant now.

Strengthened audit exemption eligibility statements

Companies claiming an exemption from the requirement to have their accounts audited will need to include a strengthened eligibility statement within their filed accounts, setting out why the exemption applies to them.

All parts of annual accounts must be filed together

Currently, different component parts of a company's accounts and reports can sometimes be filed separately. Under the new rules, all parts must be filed as a single, complete submission.

Reduced ability to shorten the accounting reference period

The number of times a company can shorten its accounting reference period (the period to which its annual accounts are prepared) will be reduced. This is intended to prevent companies from manipulating their reporting timelines.

1. Check whether your accounts are currently prepared and filed using commercial software. If not, speak to your accountant about making the switch before April 2028.
2. If you are a small company or micro-entity and you would prefer your profit and loss account not to appear on the public register, monitor Companies House guidance on the opt-out process once it is published.
3. Review whether you currently file abridged accounts and, if so, begin planning for the transition to full accounts.
4. Ensure your registered email address with Companies House is up to date so you receive the detailed guidance being issued this month.