Implementation update on filing of profit & loss accounts
The government has announced that from April 2028 small companies and micro entities will be required to file profit and loss accounts with Companies House, but with the option of not making them publicly available on the register. This is part of the reforms set out in the Economic Crime and Corporate Transparency (ECCT) Act 2023.
In June 2025, the government announced that the accounts reforms would be implemented in April 2027. Following stakeholder concerns about the reforms, Ministers paused implementation to allow engagement with stakeholders and consider their views.
One concern raised was about the proposal to publish profit and loss accounts filed by small companies and micro-entities, given potential impacts on smaller companies from disclosing data that may be commercially sensitive.
The government has stated that this feedback has been carefully considered alongside wider policy objectives, to ensure the reforms strike the right balance between tackling economic crime and avoiding undue burden on business.
The government has taken the decision to proceed with the reforms. These include, requiring small companies and micro-entities to file profit and loss accounts, as other companies do; all companies having to file their accounts at Companies House via commercial software; and other smaller technical amendments.
However, to help address concerns, the government is introducing two changes:
- Opt out of profit and loss publication: small and micro-entities will be able to opt out of having their profit and loss accounts published on the public register. Details of how smaller companies can opt out of publication will be confirmed in due course.
- Postponed timings: Implementation of these reforms will now come into effect from April 2028, rather than April 2027. This will provide companies with additional time to prepare with one full accounting year, plus nine months (21 months) to get ready.
More information
Read the written ministerial statement by Minister McDougall
