With SMEs accounting for 98% of all Scottish businesses, the firm says the delay protects thousands of companies from having sensitive margins exposed at a time when many are navigating tight trading conditions, rising costs and intense competitive pressure.

The firm highlights that the postponement is especially important for Scotland’s globally recognised niche industries including whisky, food and drink, renewables, engineering, and fast growth tech, where pricing strategies and cost structures are central to maintaining international competitiveness. Premature disclosure, it warns, could have handed valuable commercial intelligence to rivals, customers and supply chain partners.

Henderson Loggie is urging SMEs to use the breathing space to strengthen financial readiness and ensure they are fully prepared for the revised reporting regime when it eventually comes into force.

Key actions the firm recommends include assessing whether existing accounting software can support the new filing requirements and budgeting for potential cost increases. With paper submissions to Companies House set to be phased out, companies will need to switch to digital filing. Directors should review the reporting framework used for the current financial year, as accurate comparative profit and loss information will be required once the rules take effect.

The firm also advises commercial teams to consider how greater transparency may influence negotiations. Increased visibility of margins could shift supplier leverage and prompt customers to push for discounts. Understanding exactly what information will enter the public domain and how it may shape pricing strategy will be essential.

While the delay offers welcome breathing space, Henderson Loggie notes that the eventual reforms bring potential upsides. More consistent and transparent reporting can strengthen trust with lenders and investors, improve access to finance and help reduce fraud across the UK business landscape. Early preparation will allow SMEs to capture these benefits while managing the risks.

Diana Penny, audit partner at Henderson Loggie, said: “This delay is a welcome development for Scotland’s SME community. It gives businesses vital time to prepare for a major shift in financial reporting without the immediate pressure of exposing sensitive commercial information.

“We encourage SMEs to use this period to get their systems, processes and reporting frameworks in order. Those who act now will be in a far stronger position when the new requirements eventually go live and will be better equipped to protect their competitive edge.”