UK Profit & Loss (P&L) Statement Template
A free, auto-calculating profit and loss statement template for UK businesses, aligned to FRS 102 terminology.
- Accounting standard
- FRS 102 (UK GAAP)
- Financial year
- Company accounting reference period (commonly 31 Mar or 31 Dec); tax year 6 Apr–5 Apr
- Currency
- GBP (£)
- Filed with
- Companies House & HMRC
| 2026 | 2025 | |
|---|---|---|
| Turnover | £850,000 | £850,000 |
| Cost of sales | £510,000 | £510,000 |
| Gross profit | £340,000 | £340,000 |
| Administrative expenses | £180,000 | £180,000 |
| Other operating expenses | £45,000 | £45,000 |
| Operating profit | £115,000 | £115,000 |
| Interest payable | £12,000 | £12,000 |
| Profit before taxation | £103,000 | £103,000 |
| Tax on profit | £28,000 | £28,000 |
| Profit for the financial year | £75,000 | £75,000 |
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How to Fill In a UK Profit and Loss (P&L) Statement Template
A profit and loss (P&L) statement, sometimes called an income statement, shows how much a business earned and spent over a period, ending in a profit or loss for the year. It’s the single most-requested statement when applying for finance, reporting to shareholders or simply understanding whether the business made money.
UK companies preparing accounts under FRS 102 use standard terms like turnover and administrative expenses rather than US-style “revenue” and “SG&A”, and this template follows that convention throughout.
What is a profit and loss statement?
A profit and loss statement is a financial statement that reports a company’s turnover, the costs incurred earning it, and the resulting profit or loss for a defined accounting period, usually a financial year. It sits alongside the balance sheet and cash flow statement as one of the three primary statements in a set of UK accounts.
What to include
- Turnover — income earned from the company’s ordinary trading activities during the period.
- Cost of sales — direct costs of the goods or services sold, deducted from turnover.
- Gross profit — turnover less cost of sales, showing the trading margin before overheads.
- Administrative expenses — general overheads such as staff, premises and admin costs.
- Other operating expenses — additional operating costs not classed as administrative expenses.
- Operating profit — gross profit less administrative and other operating expenses.
- Interest payable — finance costs such as loan interest, deducted from operating profit.
- Profit before taxation — operating profit less interest payable, the figure taxed at the corporation tax rate.
- Tax on profit — the corporation tax charge for the period.
- Profit for the financial year — the final total after tax, which flows into retained earnings on the balance sheet.
Step-by-step guide
- Gather your sales records for the period and enter total turnover.
- List the direct costs of producing what you sold as cost of sales, and check the gross profit subtotal looks realistic for your margin.
- Enter administrative expenses such as salaries, rent and insurance that aren’t part of cost of sales.
- Enter any other operating expenses that don’t fit administrative expenses, then review the operating profit subtotal.
- Add interest payable on loans or overdrafts to reach profit before taxation.
- Enter the corporation tax charge for the period, estimated at the applicable rate if the return hasn’t been finalised.
- Confirm the profit for the financial year figure, and check it against last year’s comparative column.
- Carry the profit for the year figure into your balance sheet’s retained earnings.
UK-specific rules
Under FRS 102, the profit and loss account is a required primary statement for all companies preparing statutory accounts, though small companies can use the abridged formats permitted under the Section 1A regime, and micro-entities under FRS 105 may only need to file a balance sheet rather than a full P&L with Companies House.
Corporation tax is calculated separately via the CT600 return submitted to HMRC, and the tax figure shown in the P&L should reconcile with that return once finalised, with any difference adjusted through deferred tax where applicable.