Filing P&L accounts will be mandatory for small companies from April 2028

09 June 2026 | posted in Accounting services Accounts preparation Company Secretarial services

Filing profit & loss (P&L) accounts will be mandatory for small companies and micro entities from April 2028.  However, businesses will have an extra year to prepare for significant changes to Companies House filing requirements, following confirmation that key reforms under the Economic Crime and Corporate Transparency Act 2023 (ECCT Act) will be introduced later than initially planned.

The reforms affect both the type of information companies must report and the way they submit their annual accounts to Companies House.

What are the key changes to accounts filing under the ECCT Act?

Small companies and micro entities will need to file profit and loss accounts

One of the most significant changes is the requirement for small companies and micro entities to file P&L accounts with Companies House. This change brings them into line with larger businesses.

Historically, smaller businesses have been exempt from filing profit and loss accounts on the public register, allowing greater discretion over sensitive financial information.

Option to opt out of public disclosure

Importantly, the government has now agreed that small companies and micro entities will be able to choose not to publish their profit and loss accounts on the public register.

While P&L accounts will need to be submitted to Companies House, small companies and micro entities will have the option to opt out of publishing this information on the public register, striking a balance between transparency and commercial sensitivity.

Even where business opt out, the data will be accessible to Companies House, HMRC and law enforcement agencies as part of wider efforts to tackle economic crime. Details of how companies opt of the public register have not yet been made available.

“The ability for small companies and micro entities to opt out of publicly disclosing their profit and loss accounts is a welcome move. It addresses long-standing concerns around privacy and the potential commercial risks of sharing sensitive financial information,” says Carolyn Rossiter, Partner at Moore East Midlands.

Changes to accounts preparation and filing

The ECCT Act also introduces several important updates to how accounts are compiled and submitted:

• Mandatory digital filing

All companies will be required to file their annual accounts using commercial software. Paper and web-based manual filing options will be closed for accounts filings. (Companies House web filing services will remain available for non-accounts filings including confirmation statements and updates to director details.)

• Abridged accounts will be abolished

Companies will no longer be able to file abridged accounts, increasing the level of financial detail available.

• Accounts and reports must be filed together

The component parts of a company’s annual accounts and reports will need to be submitted together as a single filing package.

Tighter rules on accounting reference periods

The reforms will also reduce the number of times a company can shorten its accounting reference period, limiting opportunities to manipulate reporting cycles.

What should businesses do now to prepare for the ECCT Act?

As part of the implementation process, Companies House will contact all registered companies by email to provide further information and guidance on the changes.

Although the implementation date has been pushed back to April 2028, businesses should use the additional preparation time to review their current accounting and filing processes. Taking proactive steps now will help avoid disruption and ensure you remain compliant.

Companies should ensure their accounting systems are compatible with software-based filing requirements, understand the new reporting obligations and consider how the changes may affect their compliance procedures.

How Moore can help

If you would like further support or advice in preparing for these changes, please contact one of our accounting specialists today or call us on:

• Peterborough accountants: 01733 397300
• Corby accountants: 01536461900
• Northampton accountants: 01604654254