The government could scrap plans to reform business accounts processes in a bid to improve the accuracy of Companies House filings and tackle fraud.
Business secretary Jonathan Reynolds is reviewing the changes as he eyes the possible U-turn following protests from small business owners, who would be forced to disclose more information about their finances under the plans.
It comes after Companies House last week informed millions of firms of planned changes to filing systems from April 2027.
It said, The Times reports, firms would have to file their accounts using third-party commercial software and that traditional web and paper-based filings would be stopped.
It also advised that "small and micro" companies would be required to file a profit and loss statement for the first time.
At present, small firms are permitted to file less detailed accounts, limiting administrative burdens and public disclosure of their financial performance.