Audit thresholds have changed effective from 6 April 2025

From financial periods beginning on or after 6th April 2025, the audit exemption thresholds in the UK are increasing, which may impact your business’s audit requirements going forward.

Under the new rules, a company may only require a statutory audit if it exceeds two out of three of the following revised thresholds:

•    £15 million turnover (up from £10.2 million)
•    £7.5 million gross assets (up from £5.1 million)
•    50 employees (unchanged)

This change could mean that some companies who previously required an audit may now qualify for exemption.

What does this mean for you?

If your business falls below the new thresholds for two consecutive years, you may no longer need a statutory audit. This could lead to cost savings and less administrative burden. However, many businesses elect to continue with voluntary audits for transparency, credibility, and stakeholder confidence.

We recommend reviewing your latest financial figures and considering how these changes may affect your compliance obligations. If you are unsure whether your company will still require an audit, our team is here to help you assess your position and plan accordingly.

Get in touch with Moore South, to discuss the impact of these changes and your options moving forward