What must a UK invoice include?
GOV.UK’s general invoice checklist calls for a unique identification number, your business name, address and contact information, the customer’s name and address, a clear description of the goods or services, the supply date, the invoice date, the amounts charged, any applicable VAT amount, and the total owed. Quantity and unit price belong on a full VAT invoice where relevant. Payment terms and payment instructions also help the customer understand what to pay and when.
A VAT invoice uses a sequential number from one or more series that uniquely identifies the document. That does not make a universal no-gaps rule for every non-VAT invoice. Use a numbering system you can reconcile, keep cancelled or mistaken VAT invoices in your records, and document corrections rather than silently reusing an identifier.
Label the document clearly as an invoice so it is not confused with a quote, estimate or receipt. A consistent layout is useful, but the required information matters more than a particular template.
Sole traders vs limited companies
If you operate as a sole trader, the invoice must include your name and any business name you use. When you use a business name, it must also show an address where legal documents can be delivered to you. A sole trader does not have a company registration number.
A limited company must show its full company name exactly as it appears on the certificate of incorporation. GOV.UK’s invoice checklist does not require the company registration number and registered office on every sales invoice, although companies commonly include them. Separate trading-disclosure rules require those details on business letters, order forms and websites. If directors are named on an invoice, all directors must be named. A VAT invoice must carry the supplier’s VAT registration number.
Use the legal supplier identity consistently. A trading style can appear alongside it, but it should not replace the sole trader’s own name or the company’s registered name.
| Detail | Sole trader | Limited company |
|---|---|---|
| Name on invoice | Your name and any business name used | Full name from the certificate of incorporation |
| Company registration number | Not applicable | Commonly shown, but not on GOV.UK’s sales-invoice checklist |
| Address | Business address, plus an address for legal documents when using a business name | Supplier address; the registered office is commonly shown |
| VAT number | On VAT invoices if registered | On VAT invoices if registered |
When you have to charge VAT
VAT depends on your registration and the supply, not simply on whether you are a sole trader or a company. You generally must register if taxable turnover for the last 12 months goes over GBP 90,000, or if you expect it to go over GBP 90,000 in the next 30 days. Different rules apply in some situations, including businesses based outside the UK. You may also register voluntarily below the threshold.
Only a VAT-registered business can issue a VAT invoice. If you are not registered, do not add VAT or present a VAT registration number. If you register voluntarily, being below the threshold does not exempt you from your VAT obligations.
When both supplier and customer are VAT registered, a VAT invoice is generally required for a taxable business-to-business supply, subject to exceptions and special schemes. A full VAT invoice shows the supplier’s VAT registration number, a sequential identifying number, the tax point and issue date, the customer details, the net values, rates and VAT charged. A simplified VAT invoice may be used for eligible supplies of GBP 250 or less including VAT. The standard rate is 20%, but reduced, zero, exempt and outside-scope treatment depends on the supply. See the dedicated UK VAT invoice guide for the detailed field list and exceptions.
Payment terms and late payment
State when payment is due and how the customer should pay. If no payment date is agreed for a commercial transaction, payment becomes late 30 days after the customer receives the invoice or after you supply the goods or services, if that is later. Agreed periods are normally capped at 30 days for public authorities and 60 days for business transactions, although businesses can agree a longer period if it is fair to both parties.
For a qualifying business-to-business debt, statutory interest is 8 percentage points above the Bank of England base rate. A supplier can also claim fixed recovery compensation based on the debt amount. Statutory interest is not available when the contract provides a different rate that amounts to a substantial remedy, so check the contract and the current rules before adding it.
Keep the invoices and supporting records for the period that applies to you. VAT records are normally retained for at least six years, or 10 years for OSS and former MOSS records. A self-employed person normally keeps records for at least five years after the 31 January filing deadline for the relevant tax year. Company, scheme and exceptional circumstances can produce different periods. FreeBillGen can produce a consistent PDF, but guests supply and reconcile their own invoice number; the generator does not manage the sequence automatically.
UK invoicing questions
What does a UK invoice need to include?
GOV.UK’s general checklist includes a unique identification number, supplier and customer names and addresses, contact information, a clear description, the supply and invoice dates, amounts charged, any applicable VAT amount, and the total owed. VAT invoices have a more detailed field list, and simplified invoices are available for some supplies of GBP 250 or less including VAT.
Do sole traders need to register for VAT to send invoices?
No. A sole trader can send non-VAT invoices while unregistered. Registration is generally required when taxable turnover for the last 12 months goes over GBP 90,000 or is expected to go over that amount in the next 30 days. Voluntary registration and special rules can apply below the threshold.
What is the UK VAT registration threshold?
The general UK VAT registration threshold is GBP 90,000. You must check both taxable turnover over the last 12 months and what you expect in the next 30 days. Registration timing and exceptions depend on which test or special rule applies; businesses below the threshold can register voluntarily.
Does a limited company have to show its company number on invoices?
A limited company invoice must show the full company name from its certificate of incorporation. GOV.UK’s sales-invoice checklist does not require the company registration number and registered office on every invoice, although they are commonly included and separate rules require them on business letters, order forms and websites. A VAT invoice must show the supplier’s VAT registration number.
Can I charge interest on a late invoice in the UK?
For a qualifying business-to-business debt, you can generally charge statutory interest at 8 percentage points above the Bank of England base rate and claim fixed recovery compensation. You cannot claim statutory interest when the contract provides a different rate that is a substantial remedy, so check the agreement and current rules first.
How long should I keep my UK invoices?
The period depends on the record and business. VAT records are generally kept for at least six years, with 10 years for OSS and former MOSS records. A self-employed person generally keeps records for at least five years after the 31 January filing deadline for the relevant tax year. Longer or different periods can apply, so check the rule for your status and scheme.