1st July 2026
The Government has announced further details of upcoming Companies House reforms that will affect small companies and micro-entities from 1 April 2028.
The changes form part of the Economic Crime and Corporate Transparency Act (ECCTA) and are intended to improve corporate transparency and strengthen the quality of information held on the Companies House register.
While some businesses may welcome the additional transparency, others may have concerns about the increased reporting requirements and changes to filing procedures.
From 1 April 2028, small companies and micro-entities will be required to file a profit and loss account with Companies House as part of their annual accounts filing.
Following feedback from the small business community, companies will be able to opt out of public disclosure of the profit and loss account, meaning this information will not necessarily be available for public inspection.
However, businesses should be aware that the Statement of Changes in Equity will still form part of the public filing. This statement typically shows the company’s profit after tax for the year, together with details of dividends paid to shareholders and other movements in reserves.
As a result, while the detailed profit and loss account may not be publicly available, certain financial information will continue to be visible on the Companies House register.
Abridged accounts will be abolished.
All companies will be required to file accounts using commercial software.
Small companies will not be required to file a directors’ report as part of their annual accounts submission.
Further guidance on the practical implementation of these changes is expected.
The reforms are designed to improve the accuracy and reliability of information held by Companies House and help tackle economic crime.
The Government believes the changes will provide greater transparency while modernising the filing process through increased digitalisation.
Although the changes do not come into effect until April 2028, businesses should begin to consider how they may be affected.
For some companies, the requirement to file additional financial information may increase the importance of maintaining accurate accounting records and ensuring year-end accounts are prepared on a timely basis.
Businesses that currently rely on paper-based processes or older filing methods may also need to review their accounting systems ahead of the move to software-only filing.
With significant changes to Companies House filing requirements on the horizon, it is important that businesses understand their obligations and prepare in good time.
Thompson Jenner can help you review your current reporting processes, ensure compliance with upcoming requirements and provide advice on the most appropriate accounting software solutions for your business.
If you would like to discuss how these changes may affect your business, please contact a member of the Thompson Jenner team.
