Abbreviated accounts no longer exist. They were abolished for accounting periods beginning on or after 1 January 2016. Today’s filing options for small UK companies are full accounts, abridged accounts, micro-entity accounts, and filleted accounts (where the profit and loss is omitted from the public register). The choice depends on your size, your shareholders, and how much you want competitors to see.
This guide explains what each option is, how the 2025 size thresholds work, and how directors decide between them under Companies Act 2006 and FRS 102 or FRS 105.
Why “abbreviated accounts” no longer exist
Abbreviated accounts were a stripped-down version of full accounts that small companies could file with Companies House while preparing the full set internally. From 1 January 2016, that option was withdrawn. The change was introduced to simplify the filing regime and align with EU Accounting Directive transposition into UK law.
In its place came two related ideas: abridged accounts (a shorter form of the accounts themselves, prepared with shareholder consent) and filleted accounts (full or abridged accounts where some elements, typically the profit and loss account, are omitted from what is filed publicly). Micro-entity accounts, introduced earlier, also remain a separate route for the smallest companies.
If you are reading older guidance that still refers to “abbreviated” filing, it is out of date.
The three filing routes for small companies today
Full accounts
Full statutory accounts contain the directors’ report, profit and loss account, balance sheet, notes, and (where required) an auditor’s report. They are prepared under FRS 102, including Section 1A for small companies, or full FRS 102 if the company chooses. Shareholders always receive the full set. A small company can choose to file the full set publicly, but most do not.
Abridged accounts
Abridged accounts are a shorter form of the accounts that the directors prepare for shareholders. The profit and loss account starts at gross profit rather than turnover, and balance sheet detail is reduced. Every shareholder must consent in writing, in respect of the financial year, before abridged accounts can be prepared. Once consent is given, abridged accounts can be filed at Companies House and circulated to members.
Micro-entity accounts
The smallest companies can prepare accounts under FRS 105. The format is highly simplified: a brief balance sheet, a brief profit and loss account, and limited notes. No directors’ report is required for the public file. Many one-person limited companies use this route.
2025 size thresholds: what counts as small or micro
Company size thresholds increased by 50% for accounting periods beginning on or after 6 April 2025. To qualify in a category, you must meet at least two of the three limits.
| Size | Turnover | Balance sheet total | Employees |
|---|---|---|---|
| Micro-entity | £1 million | £500,000 | 10 |
| Small | £15 million | £7.5 million | 50 |
| Medium | £54 million | £27 million | 250 |
A company that crosses a threshold must usually do so for two consecutive years before its category changes. The new thresholds expand the population of companies that qualify as small or micro by a meaningful margin, so it is worth checking your current year against the updated limits even if you previously sat just outside.
If you want to keep filings light without manually prepping the iXBRL package, compare cloud accounting software for small companies — most modern tools file the right format automatically once your size category is set.
Filleted accounts: filing less without changing your size
Filleting is the most-used route in practice. Filleted accounts are full or abridged accounts where the profit and loss account, and any related notes, are omitted from the version filed at Companies House. Shareholders and HMRC still receive the full set; only the public version is reduced.
Filleting is permitted only for small companies and micro-entities that satisfy the size thresholds. It is the standard reason a competitor’s Companies House filings show only a balance sheet and short notes. You can fillet whether your underlying accounts are full or abridged.
Audit exemption and the small-company route
Most small companies are exempt from a statutory audit. The exemption is available where the company qualifies as small, is not in an ineligible group or sector (banks, insurers, certain regulated entities, public companies), and shareholders holding at least 10% of any class of shares have not demanded an audit.
Group structures complicate this: a small company that is part of a non-small group usually loses small-company audit exemption unless the group itself qualifies as small. Subsidiaries can sometimes use parent guarantee exemption under section 479A of Companies Act 2006.
How to choose: a director’s decision tree
Use these questions to settle on a filing format:
- Do you meet the micro-entity thresholds (any two of: turnover ≤ £1m, balance sheet ≤ £500k, employees ≤ 10)? If yes, micro-entity accounts under FRS 105 are usually the simplest route.
- Do you meet the small thresholds but not micro? You can prepare full accounts under FRS 102 Section 1A, or seek shareholder consent to abridge.
- Do you want to hide your profit and loss from the public register? File filleted accounts (with or without abridgement underneath).
- Are all your shareholders supportive of abridgement? If even one objects, you cannot abridge for that year.
- Are you in an ineligible group or sector? You may need a full audit and full filing regardless of size.
Key takeaways
- Abbreviated accounts were abolished for accounting periods on or after 1 January 2016
- Today’s small-company options are full, abridged, micro-entity, and filleted accounts
- The 2025 small thresholds are turnover £15m, balance sheet £7.5m, and 50 employees (any two)
- Abridged accounts require written shareholder consent for the financial year
- Filleted accounts let you keep your profit and loss off the public register
- Micro-entity accounts under FRS 105 are the simplest format for the smallest companies
Frequently asked questions
Are abbreviated accounts still allowed? No. Abbreviated accounts were abolished for accounting periods beginning on or after 1 January 2016. The current options are full, abridged, micro-entity, and filleted accounts.
What is the difference between abridged and filleted accounts? Abridged accounts are a shorter version of the accounts themselves, prepared with shareholder consent. Filleted accounts are full or abridged accounts where elements like the profit and loss account are omitted from the public Companies House filing only.
Do I need shareholder consent to file abridged accounts? Yes. Every member of the company must consent in writing, in respect of the financial year, before abridged accounts can be prepared.
What are the 2025 small company thresholds? A small company is one that meets at least two of: turnover up to £15 million, balance sheet total up to £7.5 million, and 50 employees. Effective for periods beginning on or after 6 April 2025.
Can I file micro-entity accounts as a sole director company? Yes, provided you meet two of the three micro-entity limits: turnover up to £1 million, balance sheet up to £500,000, and 10 employees. Sole-director companies are commonly micro-entities.
Useful resources
GOV.UK — Prepare annual accounts for a private limited company https://www.gov.uk/annual-accounts
Companies House — Life of a Company: annual requirements https://www.gov.uk/government/publications/life-of-a-company-annual-requirements
Financial Reporting Council — FRS 102 and FRS 105 https://www.frc.org.uk/