What Are Statutory Accounts for a UK Limited Company?
If you run a UK limited company, statutory accounts are one of the few things you can’t sidestep. Every year, without exception, you have to prepare them, share them with your shareholders, and file a version with Companies House. HMRC wants a set too, alongside your Corporation Tax return.
For a first-time director, the terminology can feel heavier than the actual work. So here is a guide to what statutory accounts are, what they include, who has to file them, and when they are due.
Table of Contents
What are statutory accounts?
Statutory accounts, sometimes called annual accounts or year-end accounts, are the formal financial statements a UK limited company must prepare at the end of each financial year. They summarise how the company performed and what it owns and owes on the last day of that year.
They are prepared under UK GAAP (usually FRS 102 or FRS 105 for micro-entities) or, in some cases, IFRS. The finished set goes to three places: your shareholders, Companies House, and HMRC.
One small but useful distinction: the accounts filed at Companies House sit on the public register and can be viewed by anyone. The version sent to HMRC forms part of your Corporation Tax return and stays private.
What do statutory accounts include?
The exact content depends on the size of the company, but a full set usually includes the following.
Balance sheet
A snapshot of the company’s assets, liabilities, and shareholders’ equity on the last day of the financial year. A director must sign it before it is filed.
Profit and loss account
A summary of income and expenses across the year, showing whether the company made a profit or a loss.
Notes to the accounts
The supporting detail behind the headline numbers, accounting policies, fixed assets, debtors, creditors, and any related party transactions worth flagging.
Directors’ report
A short narrative covering business activities and directors in office during the year. Small companies have reduced requirements here, and micro-entities are exempt from preparing one at all.
Auditor’s report
Only needed if the company doesn’t qualify for audit exemption. Most small UK companies do qualify.
Here is a quick reference for what typically applies by company size:
Company size | Directors’ report | Full disclosures | Audit required |
Micro-entity | No | No | No (if exempt) |
Small | No | Reduced | No (if exempt) |
Medium | Yes | Reduced | Yes, unless exempt |
Large | Yes | Full | Yes |
Who needs to file statutory accounts?
Every UK limited company, regardless of size, activity, or profit level. That includes:
- Trading companies of any size
- Dormant companies (which file simplified dormant accounts)
- Companies that made a loss
- Companies in their first year
Limited liability partnerships follow a similar regime under separate LLP regulations.
Company size sits at the heart of how much detail you need to file. The Companies Act 2006 uses three tests, turnover, balance sheet total, and average employee numbers, and you need to meet two out of three to fall into a category. For financial years beginning on or after 6 April 2025, the thresholds increased for the first time in over a decade:
- Micro-entity: turnover no more than £1 million, balance sheet total no more than £500,000, no more than 10 employees
- Small company: turnover no more than £15 million, balance sheet total no more than £7.5 million, no more than 50 employees
- Medium-sized company: turnover no more than £54 million, balance sheet total no more than £27 million, no more than 250 employees
Anything above the medium thresholds counts as a large company. The government estimates around 133,000 businesses will move down a size category under the new limits, which usually means lighter reporting and, in many cases, no requirement for a statutory audit.
The updated thresholds only apply to accounting periods starting on or after 6 April 2025, so a company with an earlier year end can’t use them until its next full financial year. Always check the position with your accountant before switching regimes.
Companies House vs HMRC: two filings, one set of accounts
This trips up plenty of new directors. Statutory accounts underpin two separate submissions:
- Companies House receives the accounts for the public register. Small companies and micro-entities can currently file a reduced version.
- HMRC receives the full accounts alongside the Company Tax Return (CT600) and the tax computation.
Same underlying figures. Different forms. Different deadlines. Different consequences for missing them.
It’s also worth noting that Companies House filing rules are tightening under the Economic Crime and Corporate Transparency Act 2023. From 1 April 2027, small companies will lose the option to file abridged or filleted accounts, and micro-entities will need to file a profit and loss account from 1 April 2028 (though there is an option to keep it off the public register). Timings and details could still shift, so check GOV.UK before your next filing.
Statutory accounts deadlines
Deadlines depend on whether it’s your first set of accounts or a later one.
Filing | Deadline |
First accounts to Companies House | 21 months after incorporation |
Later accounts to Companies House | 9 months after the accounting reference date (ARD) |
Company Tax Return to HMRC | 12 months after the end of the accounting period |
Corporation Tax payment | 9 months and 1 day after the end of the accounting period |
The accounting reference date is usually the last day of the month in which the company was incorporated. So a company set up on 12 June has an ARD of 30 June, and its accounts are due at Companies House by the following 31 March.
A detail worth burning into memory: your Corporation Tax bill has to be paid before the tax return is due. Miss that gap and interest starts building, even if the return itself is still in draft.
Penalties for late or wrong filing
Late filing with Companies House triggers automatic penalties, and they escalate the later you get. The penalty also doubles if you file late for two years in a row. HMRC charges its own set of penalties for late Corporation Tax returns and payments, plus interest on any unpaid tax.
Beyond the fines, persistent late filing damages your credit profile, can lead to strike-off action, and in serious cases, contributes to director disqualification. Check GOV.UK for the current penalty amounts before assuming a figure, they are reviewed periodically.
Can small companies file simpler accounts?
Yes, for now. Small companies and micro-entities can file reduced disclosures, and micro-entities can use FRS 105, which strips the format back significantly. If the company qualifies as small and isn’t in an ineligible sector (such as banking or insurance), it usually qualifies for audit exemption too.
Just be aware that the filing reforms mentioned above will remove several of these shortcuts over the next few years. If you’re used to filing filleted accounts, plan for a change.
Common mistakes to avoid
- Paying attention to the filing deadline but missing the earlier Corporation Tax payment date
- Filing dormant accounts when the company has actually traded (even a small transaction can end dormant status)
- Forgetting to sign the balance sheet before filing
- Mixing up the accounting period with the tax year
- Assuming the new size thresholds apply immediately, when they only kick in for accounting periods starting on or after 6 April 2025
When it’s worth getting professional help
Preparing your own accounts is possible, and Companies House has a WebFiling service that many micro-entity directors use. That said, professional help usually pays for itself in three situations:
- Your first year, when the framework and deadlines are new
- Any year where the company crosses a size threshold, changes its year end, or restructures
- Any year where you’ve had complex transactions, share issues, director loans, property purchases, or overseas income
If you’ve already had a late filing penalty, that’s usually a sign it’s time to hand the compliance work over.
Frequently Asked Questions
Do dormant companies need to file statutory accounts?
Yes. Dormant companies file simplified dormant accounts, but filing is still mandatory every year.
Can I file my own statutory accounts?
Yes, through Companies House WebFiling. Most directors use an accountant for the Corporation Tax return, though, because HMRC's version is more detailed.
What's the difference between statutory accounts and management accounts?
Statutory accounts are the formal year-end filings for Companies House and HMRC. Management accounts are internal reports used to run the business month to month.
Are statutory accounts public?
Accounts filed at Companies House are on the public register. The version sent to HMRC is not.
How long should I keep the underlying records?
At least six years from the end of the accounting period. Some records need to be kept longer.
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