No, the small companies aren’t being consolidated but the Companies Act 2006 has not only consolidated previous company legislation but has also introduced new legislation which is being phased in over a fairly lengthy period of time. The next date of importance for small companies is the 6th of April when new regulations specifying the form and content of the accounts and directors report are due to come into force and which apply to financial years beginning on or after that date.

To qualify for small company status two of the following three size conditions have to be met: turnover is not more than £5.6m; balance sheet total is not more than£2.8m; not more than 50 employees. If all three conditions are met a company can be exempt from the requirement of having its accounts audited. For further information the Dept. of Business Enterprise & Regulatory Reform may assist http://www.berr.gov.uk/bbf/index.html