Companies House pauses small company profit and loss filing plans

The government has paused plans to require small companies and micro-entities to file their profit and loss accounts with Companies House from April 2028. For accountants and bookkeepers supporting smaller businesses, the announcement brings another change to preparations for accounts reform, alongside a need to explain clearly to clients which requirements are still progressing.

Companies House confirmed the decision on 23 October 2026, following recommendations from the Small Business Regulatory Taskforce. During the pause, the government will consider how Companies House and HMRC filing processes could be streamlined under its “tell Government once” ambition. Eligible companies will retain existing options to file abridged accounts and omit profit and loss information from the accounts delivered to Companies House after April 2028.

The announcement describes a pause rather than a permanent cancellation. Members should therefore avoid telling clients that the requirement has been abandoned altogether. For now, the practical approach is to explain the confirmed position and review advice when further official guidance becomes available.

What is still going ahead?

Mandatory software filing remains scheduled for April 2028. Companies House guidance confirms that accounts filings made on or after 1 April 2028 must be submitted using commercial software in iXBRL format. This applies both to companies filing their own accounts and those using an accountant or agent.

Paper and web-based accounts filing will close, although Companies House web services will remain available for other submissions, such as confirmation statements. Other planned changes include stronger audit exemption eligibility statements and a requirement to file the component parts of accounts and reports together.

What does this mean for accounts preparation?

Members should distinguish between preparing accounts and deciding which information must be delivered to Companies House. The announcement concerns filing requirements. It does not announce a relaxation of the underlying accounts preparation obligations.

Client conversations should therefore focus on the specific change, avoiding any suggestion that businesses can reduce their bookkeeping or dispense with preparing profit and loss information. Accurate records remain essential for understanding business performance, preparing accounts and meeting tax obligations.

What should members do now?

Start by reviewing any client communications that described profit and loss filing as a confirmed April 2028 requirement. Explain the latest position in plain language, distinguishing the paused disclosure change from the continuing move to software filing.

Practices should also check their software arrangements, identify clients who currently file accounts themselves and consider where additional support may be needed. Building these conversations into routine accounts meetings will help clients plan ahead.

For IAB members, the priority is clear communication supported by continued preparation. Keep clients informed as further guidance emerges, while maintaining progress towards the digital filing requirements that remain on the timetable.