How to Close a Limited Company in the UK (2026)
You can close a UK limited company through voluntary strike off — the simplest route for solvent, often dormant companies — or through liquidation if the company has debts or more complex affairs. This guide from Filing Accounts UK explains exactly how to close a company correctly, using only verified facts from official Companies House guidance.
At Filing Accounts, we help directors close limited companies compliantly. Official guidance is available at GOV.UK: Strike off your company from the register.
Two Main Ways to Close a Limited Company
| Method | Best For | Cost | Timeframe |
|---|---|---|---|
| Voluntary Strike Off (DS01) | Solvent companies with no debts, often dormant | £13 digital / £18 paper | 3–6 months |
| Members’ Voluntary Liquidation (MVL) | Solvent companies with assets to distribute | Insolvency practitioner fees apply | 6–12 months |
| Creditors’ Voluntary Liquidation (CVL) | Insolvent companies (debts exceed assets) | Insolvency practitioner fees apply | 6–18 months |
Most small and dormant companies choose voluntary strike off, since it’s the lowest-cost and simplest route. For the full breakdown of DS01 alongside other Companies House forms, see our Companies House Forms Explained guide.
When Can You Use Voluntary Strike Off?
Your company must meet all of the following:
- It has not traded, sold goods, or provided services in the last 3 months
- It has not changed its name in the last 3 months
- It is not the subject of any legal proceedings
- It has no outstanding debts — including tax, VAT, PAYE, or supplier invoices
- All shareholders agree to the closure
If your company fails any of these tests, you’ll usually need liquidation instead.
Step-by-Step: Voluntary Strike Off
Step 1: Prepare the Company
- Finalise and file any outstanding accounts and Confirmation Statement (CS01)
- Pay all taxes, VAT, PAYE, and supplier invoices in full
- Close the business bank account and distribute remaining funds to shareholders
- Cancel VAT, PAYE, and any other HMRC registrations
Step 2: Obtain Shareholder Agreement
All shareholders must agree to the strike off, typically via a written resolution or meeting.
Step 3: File Form DS01
- File via Companies House WebFiling, or by post
- All directors must have completed identity verification before the application can be accepted
- Pay the £13 digital filing fee (£18 by paper)
Step 4: Companies House Publishes Notice
A notice is published in The Gazette, opening a 2-month objection window during which creditors, HMRC, or employees can object.
Step 5: Final Closure
If no objections are raised, Companies House strikes the company off and issues formal confirmation. The company then ceases to legally exist. The full process typically takes 3–6 months from filing DS01.
Common Mistakes to Avoid
Filing DS01 With an Open Bank Account or Invoices
All company affairs should be wound up before applying — remaining assets become bona vacantia (Crown property) if the company is struck off with them still in place.
Forgetting Outstanding Filings
Final accounts and any outstanding Confirmation Statement should be filed before, or as part of, the closure process.
Distributing Assets After Submitting DS01
All distributions should happen before filing, not after.
Not Notifying HMRC of Closure
This can lead to unexpected tax demands or correspondence continuing after the company is struck off.
Ignoring the 2-Month Gazette Objection Period
A valid objection during this window can delay or block the strike off entirely.
Frequently Asked Questions
How much does it cost to file DS01?
£13 for digital filing, £18 for paper filing.
How long does it take to close a limited company?
Usually 3–6 months via voluntary strike off, including the mandatory 2-month Gazette objection period.
Can I close a dormant company this way?
Yes — dormant companies are typical candidates for voluntary strike off.
What if the company has debts?
Voluntary strike off isn’t available. You’ll need a Creditors’ Voluntary Liquidation (CVL) instead.
Do I need an accountant to close my company?
Not legally required, but strongly recommended to avoid mistakes and ensure all tax affairs are properly finalised.
Ready to Close Your Company Correctly? Talk to Filing Accounts UK
Even small errors when closing a company — like a wrong fee or a missed filing — can cause delays or personal liability issues. At Filing Accounts, we handle final accounts, outstanding filings, and DS01 submission so your company is closed properly.
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