If you run a small limited company or a micro-entity, significant changes to Companies House filing requirements are on the horizon.
From 1 April 2028, new rules introduced under the Economic Crime and Corporate Transparency Act 2023 will change how companies prepare and file their annual accounts. These reforms are designed to improve transparency, strengthen the accuracy of the Companies House register and help tackle economic crime.
What Is Changing?
Currently, many small companies and micro-entities can file reduced information at Companies House without submitting a Profit & Loss (P&L) Account.
From 1 April 2028:
- Small companies and micro-entities will be required to deliver a copy of their Profit & Loss Account to Companies House.
- Eligible companies will be able to opt out of having the Profit & Loss Account published on the public register.
- Companies House will receive more detailed financial information than before.
Other Important Changes
The reforms extend beyond the Profit & Loss Account.
From 1 April 2028:
- All companies must file annual accounts using commercial software in iXBRL format.
- Paper filing of annual accounts will end.
- Companies House WebFiling for accounts will close.
- Abridged accounts will no longer be accepted.
- Companies claiming an audit exemption will need to include enhanced directors’ statements confirming their eligibility.
These measures are intended to improve the quality, consistency and reliability of information held by Companies House.
Why Does This Matter?
The reforms mean businesses should expect:
- More detailed financial information being submitted.
- Increased validation and checking of filings.
- Greater emphasis on accurate bookkeeping throughout the year.
- Directors continuing to be legally responsible for ensuring that accounts are complete and accurate.
Good accounting records will become even more important as Companies House modernises its filing system.
Example
A company currently qualifies as a micro-entity and files only the minimum information required under the existing rules.
From 1 April 2028, it will also need to deliver its Profit & Loss Account to Companies House. If eligible, it can choose to opt out of having that Profit & Loss Account published on the public register, although Companies House will still receive the information.
How Business Management Consultation Can Help
At Business Management Consultation, we can help you:
- Prepare fully compliant statutory accounts.
- Maintain accurate bookkeeping throughout the year.
- Prepare your Profit & Loss Account correctly.
- Transition to commercial software filing.
- Meet all Companies House and HMRC filing requirements.
- Reduce the risk of rejected filings and compliance issues.
Preparing early will make the transition to the new filing regime much smoother.
Conclusion
The Companies House reforms taking effect from 1 April 2028 represent one of the biggest changes to company accounts filing in recent years. While small companies and micro-entities will need to submit more financial information, they will generally be able to opt out of publishing their Profit & Loss Account on the public register.
With mandatory software filing and additional reporting requirements also being introduced, now is the ideal time to review your bookkeeping and accounting processes so that your business is ready well before the new rules take effect.
Call us today on 01273 777 333 to discuss how these Companies House reforms may affect your company and how we can help you prepare.
Leave a comment