Small Company Directors: Major Companies House Profit and Loss Filing Changes Paused

What This Means for You and Your Business

If you run a small limited company, you may have seen headlines over the last year suggesting that your full profit and loss account could soon become publicly available at Companies House.

That concern was justified. Significant changes were planned and they would have fundamentally altered how much financial information small companies are required to put on the public record.

Those changes have now been paused.

However, this is not a minor technical delay. It is a major regulatory shift that affects how directors should think about disclosure, compliance, and future planning.

Here is what was due to change, what has now been put on hold, and what small company directors need to understand going forward.

What changes to profit and loss filing were small companies facing?

As part of the Economic Crime and Corporate Transparency Act 2023 (ECCTA), the government announced a package of reforms aimed at increasing transparency and tackling misuse of UK companies.

One of the most significant proposals was a requirement for small companies and micro-entities to file their full profit and loss account at Companies House.

Under the proposed rules, eligible companies would have been required to file:

• A full profit and loss account
• A balance sheet
• A director’s report (for small companies)

Crucially, this information would have been publicly accessible, removing the long-standing ability for owner-managed businesses to keep detailed trading results private.

The changes were expected to take effect from April 2027, alongside a shift towards software-only filing.

Why would public profit and loss filing have been a big issue for directors?

For many small company directors, the proposed changes raised serious and legitimate concerns.

Publicly available profit and loss accounts can expose:

• Commercially sensitive margins and cost structures
• Staff costs and remuneration patterns
• Pricing strategies and profitability trends
• Information competitors can use to their advantage

For owner-managed businesses, this is not about secrecy. It is about commercial protection.

There were also practical concerns around increased compliance burdens, additional software requirements, and higher costs for smaller businesses and their advisers.

As a result, the proposals faced strong opposition from across the accounting profession and SME community.

Have the Companies House profit and loss filing changes been cancelled?

No, but they have been paused.

Companies House has confirmed that the proposed requirement for small companies and micro-entities to file full profit and loss accounts will not be introduced in April 2027.

Instead:

• The proposals are under review
• No revised implementation date has been announced
• Companies House has committed to providing at least 21 months’ notice before any future changes take effect

This removes the immediate pressure on small companies, but it does not mean the issue has gone away permanently.

What does this mean for small companies right now?

For now, existing filing rules remain in place.

Small companies and micro-entities can continue to:

• File abridged or filleted accounts at Companies House
• Keep full profit and loss information out of the public domain
• Prepare accounts under current small company reporting frameworks

There is no requirement to change how your accounts are prepared or filed at this stage.

Could these profit and loss filing changes return in the future?

Yes, and directors should be aware of this.

The pause reflects the scale of concern raised, not a rejection of the government’s wider goal of increased transparency.

It is entirely possible that:

• Revised disclosure rules are introduced in a different form
• Filing requirements are phased in more gradually
• Software-only filing becomes mandatory over time

The key difference is that businesses should now receive clear advance warning, allowing time to prepare rather than react.

What should small company directors be doing now?

The sensible approach is measured, not reactive.

Directors should:

• Avoid making structural or reporting decisions based on paused proposals
• Treat headlines and social media speculation with caution
• Stay informed as Companies House reforms continue to develop
• Speak to their accountant before assuming future disclosure will be unavoidable

This pause removes uncertainty in the short term, but it reinforces the importance of forward planning, not complacency.

How RiverView Portfolio supports small company directors

At RiverView Portfolio, we closely monitor Companies House reforms and financial reporting changes so our clients are never caught out by shifting compliance requirements.

Whether you are concerned about future disclosure rules, reporting strategy, or wider director responsibilities, we help you stay compliant while protecting your commercial position.

If you are unsure how upcoming reforms may affect your business, now is the time to have that conversation calmly, clearly, and with the right advice.

FAQs: Companies House profit and loss filing changes

Will small companies have to file their profit and loss account publicly?

Not at present. The proposed requirement has been paused and will not be introduced in April 2027.

Are the Companies House filing reforms cancelled?

No. The proposals are under review and may return in a revised form.

When could profit and loss filing rules change?

No new date has been set. Companies House has committed to providing at least 21 months’ notice before implementation.

Does this apply to micro-entities as well as small companies?

Yes. The paused proposals applied to both small companies and micro-entities.

Do directors need to change how accounts are filed now?

No. Current filing rules continue to apply for the time being.