After significant delays after the proposals were first announced, the government has now announced changes to the way companies file their annual accounts with Companies House.

The new rules will come into effect from April 2028 and are intended to improve the quality of information held on the Companies House register. Whilst the official Companies House statement does not make this explicitly clear, these changes are expected to apply to accounting periods starting on or after 1 April 2028.

These changes are designed to make the Companies House register more reliable and easier to trust. They aim to improve the accuracy of the information held, help businesses and others make better-informed decisions, bring UK filing practices up to date with international standards, and reduce the risk of economic crime.

While the changes are still some time away, company directors should be aware of what is coming and how it may affect their business, so they are able to appropriately prepare for this.

What is changing?

Currently, many small companies can file limited financial information at Companies House. For example, in a lot of cases, a profit and loss account does not currently need to be submitted to Companies House and is usually omitted from the filing, which typically only includes a balance sheet and notes.

However, from April 2028 onwards, small companies and micro-entities will also need to submit a profit and loss account with Companies House as part of their annual accounts filing.

This means Companies House will receive more information about a company’s financial performance than it does at present. At RRL Cornwall, we will ensure that all client filings are completed correctly and that Companies House requirements are fully met.

Will everyone be able to see my profit and loss account?

In short, No! This conundrum was likely the reason for the delays in arriving at this final announcement.

Following feedback from businesses, the government has confirmed that companies will be able to choose not to make their profit and loss account publicly available, if they wish for it not to be disclosed.

This means that competitors, customers and suppliers will not automatically be able to view your annual profit figures. The option for small companies and micro-entities to opt out of publishing profit and loss information addresses concerns that this data could otherwise pose a commercial or privacy risk to businesses. We’d imagine that many impacted businesses will take advantage of this option.

However, even if such an election is made, Companies House, HMRC and certain government agencies will still be able to access this information regarding your profit and loss for the year, even if it is not made public. This is so HMRC is able to help identify and tackle fraud, economic crime and tax evasion.

Paper filing will end

Companies House is moving towards a fully digital filing system.

From April 2028, companies will need to submit their accounts electronically using approved software.

However, for our clients this should not be a concern or cause any disruption, as we already ensure that all filings are submitted electronically using our accounting software, which is already in line with the requirements being introduced from April 2028.

Other changes

There are also a few other changes being introduced from April 2028 that companies should be aware of:

• There will no-longer be the option to file abridged accounts.
• Companies will need to submit their accounts and supporting reports as one complete filing, rather than sending parts separately.
• Stricter checks will be introduced for companies claiming audit exemption to ensure they are correctly entitled to do so.
• Restrictions will be placed on how often a company can shorten its accounting period.
• All accounts will need to be filed using approved commercial software in a fully digital format.
• Companies House will have greater powers to review and query information before it is accepted on the register.

Although some of the detailed requirements are still to be finalised by Companies House, the overall direction of the changes is clear. At RRL, we will take care of these changes for our clients and ensure everything is completed correctly and in line with Companies House requirements.

What does this mean for my business?

For many companies, there will be very little to do right now.

However, directors should be aware that:

• More financial information will need to be submitted to Companies House.
• Accounts filing will become fully digital.
• Companies House will have access to more detailed financial information than before.

Businesses that are unsure how the new Companies House filing requirements may affect them should seek professional advice well ahead of April 2028. Our experienced Chartered Tax Advisors and accounts team can help ensure your business remains compliant with Companies House and HMRC requirements.

Do I need to do anything now?

No immediate action is required.

The new rules do not take effect until April 2028, and further guidance is expected before then.

We will continue to monitor developments and keep our clients informed of any important updates that will affect them.

While no immediate action is required, keeping up to date with regulatory changes is important. As an established Accountancy Firm, we will continue to monitor developments and provide guidance to clients as further details are released.

Need advice?

If you have any questions about the upcoming Companies House changes, your annual accounts filing requirements, or how this may affect you, please get in touch with our accounts team. As a proactive Accountancy Firm, we are here to help businesses understand their obligations and prepare for upcoming regulatory changes with confidence.