E-invoicing is coming to the UK. Here's what it means for you.
The government plans to make e-invoicing compulsory for VAT invoices to other businesses and the public sector from April 2029. This guide explains who it affects, what changes and what, if anything, you need to do. No jargon.
In short
- From April 2029, VAT-registered businesses are due to send their VAT invoices to other businesses and the public sector as e-invoices.
- An e-invoice is a data file that goes straight into your customer's accounts software. A PDF attached to an email won't count.
- Invoices will travel over a network called Peppol. The government confirmed this in June 2026.
- Not VAT registered? The government says many of the smallest businesses that aren't VAT registered won't have to do it.
- Invoices to homeowners and other private customers aren't affected.
- The rules aren't final. A detailed plan is due at the Budget on 28 October 2026, with full technical details and the law to follow by 2028.
Who it affects
What matters is whether you're VAT registered and who you invoice. It doesn't matter whether you're a sole trader, a partnership or a limited company.
| If you are… | …and you invoice | E-invoices from April 2029? |
|---|---|---|
| VAT registered | Other businesses (a builder, a letting agent, a limited company) | Expected |
| VAT registered | The public sector (councils, schools, the NHS) | Expected |
| VAT registered | Homeowners and private customers only | Not expected |
| Not VAT registered | Anyone | Not expected (but see below if you're close to £90,000) |
If your turnover is heading towards the £90,000 VAT threshold, e-invoicing could apply to you once you register. Read how to get ready.
Start here
Does it apply to me?
Answer three questions and get a straight answer, with what to do next.
Check now →What is an e-invoice?
Why a PDF won't count, and what an e-invoice actually looks like.
Read →Peppol explained
The network your invoices will travel over, and why you won't need to touch it.
Read →Timeline
Everything announced so far, and what's still to come before 2029.
Read →How to get ready
A simple checklist for your situation, and what to ask your software provider.
Read →FAQs
PDFs, penalties, CIS, reverse charge, cost and more.
Read →E-invoicing and Making Tax Digital
How they're different, and how they fit together.
Read →For trades and construction
CIS, the reverse charge, main contractors and public sector jobs.
Read →Glossary
Peppol, access points, EN 16931 and other jargon, explained.
Read →Coming up: Budget, 28 October 2026. The government has promised to publish its implementation roadmap for e-invoicing at the Budget. We'll update this guide the same week.
Using PaySorted? You're already getting ready.
PaySorted, the invoicing app that makes this guide, already creates e-invoice files in the Peppol format for invoices to businesses and the public sector, and checks they have the details an e-invoice needs. See how PaySorted gets you ready →
Sources
- Budget 2025 (HM Treasury, 26 November 2025)
- Budget 2025: overview of tax legislation and rates, para 2.34 (26 November 2025)
- Promoting electronic invoicing: consultation response (HMRC and DBT, 26 November 2025)
- Tax update 2026: summary (23 June 2026)
- HMRC Transformation Roadmap: update 2026 (July 2026)
- Chancellor's letter confirming the Budget 2026 date (31 July 2026)
Want to send e-invoice-ready invoices now, without the hassle?
PaySorted already makes your invoices in the Peppol e-invoice format, checks every detail an e-invoice needs, and keeps up with the rules as they're confirmed. So you don't have to.
- E-invoice files in the Peppol format, made for you today
- Knows which customers need one: homeowners get a normal invoice, businesses and public bodies get an e-invoice too
- Flags anything missing before you send, like a VAT number or buyer reference
- Updated automatically as HMRC publishes the UK rules, with Peppol sending switched on before 2029 at no extra cost
- Chases late payers for you by email and text, so you get paid faster now
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Does e-invoicing apply to you?
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