Many small and medium-sized businesses may not want to wait for the new Companies House regulations, as they are tougher to comply with. The reforms are being made gradually in accordance with the Economic Crime and Corporate Transparency Act.
Moreover, Companies House has more powers to challenge information, make the register more accurate, and act if requirements are not met. It aims to take 200,000 or more actions to address abuse and enhance the integrity of the register by the end of 2026–27, according to its business plan.
Compliance Changes Are Already Underway
Identity verification is one of the most immediate changes. Since 18 November 2025, verification has been a legal requirement for company directors and people with significant control (PSCs), with existing companies undergoing a 12-month transition period.
Existing directors generally need to provide their Companies House personal code with the company’s next confirmation statement. A company cannot file that statement unless all directors who need to verify have completed the process.
This means the issue is particularly relevant to incorporated SMEs, their directors and PSCs, rather than every small business or sole trader.
Where SMEs Could Get Caught Out
Ignoring the requirements can create more than an administrative inconvenience. Mainly, Companies House clearly states that persistently acting as a director after the relevant deadline without meeting the verification requirements can simply be an offence. The company and its directors may also be committing an offence.
Companies House has also said that by the end of the 2026–27 financial year, companies should either have met the identity verification requirements connected with their confirmation statement or be on an appropriate compliance or enforcement pathway.
For SMEs, leaving checks until a filing deadline could therefore create avoidable problems, especially where director details are incorrect or personal codes have not been obtained.
April 2028 Brings Another Major Filing Change
The next major change businesses should plan for is software-only filing of annual accounts.
From 1 April 2028, all UK-registered companies will have to file annual accounts in iXBRL format using commercial software. Companies House says its web and paper routes for annual accounts will close from that date. The rule will apply both to companies filing themselves and those using accountants or other agents.
Small companies and micro-entities will also face changes to the information included in their filings, including requirements relating to profit and loss accounts. Companies House has confirmed that further details on how some of these changes will operate will follow.
What SMEs Should Do Now
Businesses should review their Companies House position now rather than waiting for the next filing deadline. Key steps include:
- Check Companies House records to make sure company and director details are accurate.
- Confirm the identity verification requirements for directors and PSCs, and understand when each person must comply.
- Keep Companies House personal codes secure once verification is complete.
- Check the next confirmation statement deadline and make sure the required directors are verified before filing.
- Start preparing for software-based accounts filing ahead of the April 2028 change.
- Speak to an accountant or adviser early if company records, filing responsibilities, or upcoming requirements are unclear.
Furthermore, taking the steps in advance can reduce the risk of last-minute filing issues and give businesses time to correct any issues before a deadline arrives.
Preparing With Lanop Before Deadlines Arrive
These reforms affect different companies at different times, which is why preparation matters.
Lanop can provide accounting support for SMEs by assisting businesses in auditing their Companies House situation, understanding any upcoming filing and verification obligations, reviewing what needs to be done before deadlines, and preparing for the transition to companies’ software-only accounts filing. Early action will give businesses more time to correct issues before they become filing or compliance issues.
