Purpose
Companies House has confirmed a package of accounts filing reforms that will come into effect from 1st April 2028. The changes form part of the Economic Crime and Corporate Transparency Act and are intended to improve the quality, consistency and transparency of information held on the public register.
Businesses have been given additional time to prepare, with implementation delayed from April 2027 to April 2028. Companies will therefore have approximately 21 months to get ready for the new requirements.
Software-only accounts filing
One of the most significant changes is that accounts must be filed using commercial software.
From 1st April 2028
- Paper accounts filing will no longer be available
- Companies House WebFiling for accounts will close
- Accounts must be submitted using approved commercial software
- Accounts will need to be filed in iXBRL format
For businesses already working with accountants or filing through software, the impact may be limited. However, companies still relying on paper or manual filing processes will need to adapt.
Changes for small companies and micro-entities
Small companies and micro-entities will be required to file a Profit & Loss Account as part of their annual accounts.
Historically, many smaller companies have been able to keep this information private.
Under the new framework
- A Profit & Loss Account must be submitted to Companies House
- Small companies and micro-entities can elect not to have the Profit & Loss Account published on the public register
- Abridged accounts will no longer be available
This represents a compromise between greater transparency and commercial confidentiality.
Other changes
Additional reforms include
- Stronger audit exemption statements
- Restrictions on shortening accounting reference periods more than once within a five-year period unless specific conditions are met
- Greater standardisation of accounts information filed with Companies House
Implications for business owners
The practical implications are relatively straightforward.
Businesses should
- Ensure they have suitable software in place well before April 2028
- Review how annual accounts are currently prepared and filed
- Understand what additional information will need to be submitted
- Consider whether existing processes remain fit for purpose
For most businesses using professional advisers, the transition should be manageable. However, businesses that prepare and file accounts themselves may need to make changes to their systems and procedures.
Key takeaway
The direction of travel is clear. Companies House is moving towards a fully digital filing environment with greater consistency, improved data quality and increased transparency.
Although April 2028 may seem some way off, businesses should use the additional preparation time wisely and ensure they are ready well before the new requirements become mandatory.
