Free tool · United Kingdom
What it costs to start and run
The official fees for a sole trader and a private limited company (Ltd): to set up, every year, and if you are late. Each amount comes from GOV.UK, with the date we read it.
- Official sources
- Read on 8 November 2026
- Free, no account
At a glance
The official fees in short
Official fees
To set up
What you pay once, when you start.
| What | Amount | Details |
|---|---|---|
| Ltd Register the company with Companies House | £100 | Online or through software. £124 by post. The company is usually registered within 24 hours.1 |
| Ltd Same-day registration | £156 | Only through software filing. Optional.1 |
| Ltd Verify your identity (each director and person with significant control) | Free | Free with GOV.UK One Login. An agent (an Authorised Corporate Service Provider, such as an accountant) may charge a fee to do it for you.2 |
| Sole trader Register as a sole trader (Self Assessment with HMRC) | — | GOV.UK lists no fee. Register if you earn more than £1,000 from self-employment in a tax year (6 April to 5 April).3 |
Official fees
Every year
What comes back each year once the business runs.
| What | Amount | Details |
|---|---|---|
| Ltd Confirmation statement | £50 | Online or through software, with your first statement in each 12-month period. £110 by post. At least once every 12 months.1 |
| Ltd Annual accounts and Company Tax Return | — | Filed with Companies House and HMRC every year. Directors stay legally responsible even if an accountant does it.4 |
| Sole trader Self Assessment tax return | — | Online return and payment by 31 January after the end of the tax year.5 |
| Sole trader Making Tax Digital for Income Tax | — | From 6 April 2026, if your income from self-employment and property is over £50,000: compatible software and quarterly updates.6 |
Official fees
If you are late
Penalties set by the official rules. Filing on time costs nothing extra.
| What | Amount | Details |
|---|---|---|
| Ltd Accounts filed late at Companies House | £150 to £1,500 | £150 up to 1 month late, £375 up to 3 months, £750 up to 6 months, £1,500 after that. Doubled if late 2 years in a row.7 |
| Ltd Confirmation statement not filed | Up to £5,000 | A fine, and the company may be struck off the register.4 |
| Sole trader Tax return sent late | £100 | Then £10 a day after 3 months (up to £900), and 5% of the tax due or £300, whichever is greater, after 6 and after 12 months.5 |
| Sole trader Tax paid late | 5% of the unpaid tax | At 30 days, 6 months and 12 months, plus interest.5 |
Official fees
Only if you need it
Changes you may make later.
| What | Amount | Details |
|---|---|---|
| Ltd Change the company name | £20 | Online or through software. £30 by post.1 |
No official amount
Costs that depend on your choices
Prices vary from one provider to another, so we don’t show an amount. Compare quotes: providers on Sendbiz charge no commission.
- An accountantOptional, but many founders use one for the accounts and tax returns.4
- A registered office address service (Ltd)Only if you don’t want your own address on the public register. The address must still meet the Companies House rules.8
- A business bank account (Ltd)A company’s banking must be separate from your personal banking.4
- Business insuranceGOV.UK suggests it for both structures if something goes wrong.9
Tax on your profits (Income Tax, National Insurance or Corporation Tax) and VAT depend on your figures: they are not fixed costs and are not listed here. All amounts were read on 8 November 2026 on Companies House and GOV.UK pages listed below.
This is general guidance, not legal or tax advice. It comes from official sources, read on 8 November 2026. Rules and fees change: always check the official source before you act. For your own situation, talk to a professional: an accountant.
Sources
- Companies House fees · Companies House · read on 8 November 2026
- Verifying your identity for Companies House · Companies House · read on 8 November 2026
- Become a sole trader · GOV.UK · read on 8 November 2026
- Running a limited company: your responsibilities · GOV.UK · read on 8 November 2026
- Self Assessment tax returns: penalties · HMRC · read on 8 November 2026
- Making Tax Digital for Income Tax for sole traders and landlords: step by step · HMRC · read on 8 November 2026
- Prepare annual accounts: penalties for late filing · GOV.UK · read on 8 November 2026
- Set up a private limited company · GOV.UK · read on 8 November 2026
- Set up a business: sole trader or limited company · GOV.UK · read on 8 November 2026