Changes at Companies House – what this means for you

The changes give Companies House the power to play a more significant role in tackling economic crime and supporting economic growth. The changes will affect UK Companies, Company Directors, People with Significant Control (PSCs) and anyone filing on behalf of a company. 

Some of the changes will have a huge impact – including the requirement for small and micro companies to file their profit and loss account with Companies House. 

The changes include: 

1. Improving the quality of data on company registers 

Companies must always have an ‘appropriate’ registered office address. They will no longer be able to list a PO Box as a registered address. 

On incorporation, subscribers to the company will need to confirm they are forming the company for a lawful purpose. The company will need to annually confirm its intended activities are lawful on their confirmation statement. 

Companies House will have greater powers to query and challenge information. There will be stronger checks on company names, and companies house will use annotations on the register about potential issues. 

2. Identity verification 

Companies House will introduce a new identity verification process to help deter those wishing to use companies for illegal purposes. Anyone setting up, running, owning or controlling a company in the UK will need to verify their identity to prove they are who they claim to be, this includes all directors and any PSCs. 

Members of Limited Liability Partnerships (LLPs) will also need to verify their identity. 

For existing companies, all directors and PSCs will have a transition period to verify their identity with Companies House. 

Anyone acting on behalf of a company will also need to verify their identity before they can file information. 

3. Changes to accounts 

Companies House will be transitioning towards filing accounts by software only. This will allow for more efficient and secure filings and lay the foundation for all accounts to be filed in a digital format. The move towards filing accounts by software only will be phased in over the next two to three years. 

Small and micro entities will need to file their profit and loss accounts with Companies House. Details of what will need to included will be confirmed by Companies House in the future.  

Small companies that do not qualify as micro entities will also need to file a director's report.  

There will no longer be an option to file abridged accounts. 

Any company claiming an audit exemption will need to give an additional statement from their directors on the balance sheet. Directors will need to specify which exemption is being claimed and confirm that the company qualifies for the exemption.  

4. Confirmation statement changes 

All companies will need to provide a registered email address for Companies House to use to communicate with the company. The email address will not be available to the public.  

New companies will need to give a registered email address when they incorporate from 4th March 2024. 

Existing companies will need to give a registered email address when they file their next confirmation statement, with a statement date from 5th March 2024 onwards. 

All companies will need to confirm that the intended future activities of the company will be lawful. You will need to confirm this every year on the confirmation statement. You will not be able to file a confirmation statement without this statement. 

5. Changes to Companies House fees 

Companies House fees are increasing from 1st May 2024. The changes are to ensure Companies House can recover the costs of the services it offers. The changes have been confirmed and include the following:

• Incorporation online – £50
• Incorporation software – £50
• Incorporation software (same day) – £78
• Incorporation by paper – £71
• Confirmation statement online – £34
• Confirmation statement by paper – £62

Further information on the changes can be found here.

Changes for Community Interest Companies (CIC) can be found here.

6. Protecting your information 

Individuals will be able to suppress the following information from historic documents: 

• residential addresses 
• day of birth for documents registered before 10th October 2015 
• signatures 
• business occupation 

Individuals at personal risk of physical harm or violence because of their personal information being on a Companies House public register (for example, domestic abuse survivors) will be able to apply to have their information protected from public view.  

The information that can be protected from public view includes:  

• name (or previous names)  
• sensitive addresses where public disclosure puts its residents at risk (for example, a women’s domestic abuse refuge)  
• in the most serious cases, all other details, for example, service address and partial date of birth 

7. Changes to limited partnerships (LPs) 

Limited Partnerships must:   

• provide partners’ names, date of birth and usual residential address  
• verify the identity of general partners  
• provide a registered office within the UK  
• provide a standard industrial classification (SIC) code  
• file an annual confirmation statement   

LPs will need to file information through an authorised agent (also known as an Authorised Corporate Service Provider) that is registered with Companies House. This is to make sure the data is trustworthy and fit for purpose.  

There will be new powers to:  

• close and restore limited partnerships  
• apply sanctions  
• protect partners’ information   
• operate a statutory compliance process   

8. Improving transparency of company ownership 

Companies must:   

• record the full names of shareholders who are individuals and corporate members and firms in their registers 
• provide a one-off full shareholder list 

Companies House will:   

• collect and display more information, including the reason for companies claiming an exemption from providing PSC details 
• collect and display the conditions which allow a relevant legal entity (RLE) to be recorded as a PSC 

There will be restrictions on the use of corporate directors with only UK corporate entities with ‘legal personality’ being appointed as corporate directors. 

9. Investigation, enforcement and data sharing 

Companies House will have more effective investigation and enforcement powers and new powers to share data with law enforcement agencies and other government departments. 

How we can help 

Our TaxAssist Accountants strive to stay up to date and provide our clients with proactive and helpful advice. If you are uncertain how these Companies House changes may affect you or how you can manage the changes speak to our friendly team. Call us today on 01202 122272 or use our online contact form. 

Date published 6 Feb 2024 | Last updated 26 Feb 2024

This article is intended to inform rather than advise and is based on legislation and practice at the time. Taxpayer’s circumstances do vary and if you feel that the information provided is beneficial it is important that you contact us before implementation. If you take, or do not take action as a result of reading this article, before receiving our written endorsement, we will accept no responsibility for any financial loss incurred.

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