UK invoice template

Mandatory information for a UK limited company invoice

Under the Companies Act 2006, a limited company must include the following on all business documents, including invoices:

• The full registered company name (exactly as it appears on the certificate of incorporation)
• Company registration number
• Registered office address
• Country of registration (England and Wales, Scotland, or Northern Ireland)

If the invoice is a VAT invoice (i.e. you are VAT-registered and charging VAT), you must also include your VAT registration number, the date of supply (which may differ from the invoice date), the net amount, the VAT rate applied, the VAT amount, and the gross total. Failure to include these elements means the recipient cannot reclaim the VAT.

Invoice structure and layout

A clear, professional invoice should contain the following sections in a logical order:

• Header: your company name, logo (optional), address, phone, email, and website
• Invoice metadata: unique sequential invoice number, invoice date, and — if different — date of supply
• Bill to: customer's full legal name (company name if a limited company), registered or billing address, and a named contact or purchase order number if required
• Line items: description of goods or services, quantity, unit price, and line total
• Totals: subtotal (net), VAT amount at the applicable rate, and gross total
• Payment terms: due date stated explicitly (e.g. "Payment due by [date]"), not just "30 days net"
• Payment details: sort code, account number, account name, and reference (usually the invoice number)

VAT treatment on invoices

Standard rate VAT (currently 20 %) applies to most goods and services supplied by VAT-registered businesses. Some supplies are zero-rated, reduced-rated, or exempt — applying the wrong rate creates a liability to correct the invoice and may trigger a VAT adjustment. If you are uncertain about the correct VAT treatment for a particular supply, confirm with your accountant before invoicing.

If your customer is VAT-registered in another EU country and you are supplying services under the reverse charge mechanism, the invoice should state "VAT reverse charged" and show the net amount only. Post-Brexit rules on cross-border VAT differ depending on whether the supply is of goods or services and the nature of the customer.

Payment terms and the Late Payment Act

The Late Payment of Commercial Debts (Interest) Act 1998 entitles UK businesses to charge statutory interest at 8 % above the Bank of England base rate on overdue B2B invoices, plus a fixed compensation amount (£40–£100 depending on invoice value), without needing to specify this in the contract. However, the due date must be determinable — an invoice that states only "payment within 30 days" without specifying the invoice date makes the due date ambiguous.

Best practice is to state the due date explicitly on the invoice face. Consider including a short statement such as: "Invoices unpaid after the due date may attract statutory interest under the Late Payment of Commercial Debts Act 1998." This is a legitimate and widely accepted notice; it does not constitute a threat.

For more guidance on managing overdue invoices once raised, see the credit control checklist.

Record-keeping requirements

HMRC requires UK businesses to retain sales invoices and supporting records for a minimum of six years (or ten years where the company is registered for VAT and uses the VAT MOSS scheme for digital services). Invoices should be stored in a way that allows them to be retrieved quickly in the event of a VAT inspection or Companies House filing query.

If you use accounting software, ensure export copies are taken periodically and stored independently of the software subscription. If your software provider ceases trading, access to historical invoices may be lost.