New Era For Filing Annual Accounts: Key Reforms Every UK Company Must Prepare For

Companies House has confirmed that a package of accounts filing reforms under the Economic Crime and Corporate Transparency Act 2023 (ECCTA) will come into force from 1 April 2028, giving companies additional time to prepare for the transition. 

The reforms were expected to come into force sooner, but the implementation timetable has been moved so companies will have at least one full accounting year, plus nine months, to prepare for the changes. 

What’s changing? 

Profit and loss accounts for small companies and micro-entities

• The option to file abridged accounts will be removed.
• Small companies and micro-entities will be required to file profit and loss accounts with Companies House, in line with other companies, with the option to opt out of publishing this information on the public register.
• Such companies that wish to benefit from publication, for example through greater transparency and potentially improved access to finance, will still be able to do so. 
• Where a company opts out of publication, Companies House, law enforcement and HMRC will retain access to the information to support their efforts to prevent fraud, economic crime and tax evasion. 
• Further details of the opt‑out mechanism will be confirmed in due course.

Software‑only filing

• From April 2028, all UK registered companies will be required to file their accounts in Inline eXtensible Business Reporting Language (iXBRL) using commercial software. Companies House have provided a list of software providers to help companies find a suitable software package.
• This applies whether accounts are filed directly by companies or via agents or accountants. 
• From April 2028, Companies House web and paper-based filing routes for accounts will be closed. 

Other reforms to filing requirements

• All companies claiming audit exemption will require a strengthened eligibility statement. 
• There will be a requirement for all component parts of the filed accounts and reports to be filed together. 
• The number of times a company will be permitted to shorten its accounting reference period will be reduced. 

Timing and transition 

The implementation date for the reforms has been moved from April 2027 to April 2028. This gives all companies one full accounting year plus nine months (a total of 21 months) to prepare. Companies House will contact companies via their registered email address to highlight the changes and signpost guidance. 

How to prepare for the changes 

Although the legal requirement will not bite until April 2028, the government and Companies House are encouraging early transition to software filing, noting that around 65% of companies already use software as their preferred filing method and software capable of filing with Companies House is already available and listed on GOV.UK. 

In practical terms:

• If you use Gowling WLG company secretarial services we will be here to help you through the changes
• If your accounts are filed by an accountant, make sure their software is compatible with Companies House software only filing system. 
• Self‑filers, presenters and agents who do not yet use software should identify and implement appropriate software ahead of the closure of web-based and paper accounts filing routes. 

Once the detailed timetable for software only filing is confirmed, Companies House has indicated that companies will be given sufficient time to transition before compliance becomes mandatory. 

We would note that other non‑accounts filings (such as confirmation statements and changes to director details) will continue to be made in the usual way via Companies House web services although, in due course, all filings at Companies House will need to be made via an authorised corporate service provider (pursuant to other ECCTA measures that are due to be implemented later this year). 

New Era For Filing Annual Accounts: Key Reforms Every UK Company Must Prepare For

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