Company Size Assessment

SECR Thresholds — Company Size Criteria for SECR Reporting

SECR (Streamlined Energy and Carbon Reporting) applies to UK companies that meet specific size thresholds. Understand the £36 million turnover, £18 million balance sheet, and 250 employee criteria.

SECR Size Thresholds — Quick Check
Your company must comply with SECR if it meets 2 or more of these criteria
£36 million
Annual turnover
£18 million
Balance sheet total
250
Employees
Understanding the SECR Size Thresholds

What Companies Must Comply

SECR applies to UK-incorporated companies that qualify as "large companies" under the Companies Act 2006. A company is considered large if it meets 2 or more of the following thresholds in the current or previous financial year:

£36 million annual turnover

This is your company's total revenue for the financial year, as reported in your annual accounts. The threshold has remained unchanged since SECR was introduced in 2019.

£18 million balance sheet total

This refers to the total assets figure on your company's balance sheet. It includes all assets: current assets, fixed assets, and any other assets.

250 employees

This is the average number of employees during the financial year, calculated on a monthly basis. Include all employees, whether full-time, part-time, or on fixed-term contracts.

Group Company Rules

SECR also applies to UK-incorporated companies that are part of a group that meets the large company thresholds on a consolidated basis, even if the individual UK company is below the thresholds.

Measurement Period

The thresholds are assessed based on your most recent financial year. If your company meets 2 or more thresholds in either the current year or the previous year, SECR reporting is required.

This means there's typically a one-year lag between qualifying for SECR and having to submit your first report. Companies that crossed the thresholds for the first time in 2025 would need to start SECR reporting for their 2026 accounts.

Practical Examples

✓ Company A — Requires SECR

  • • Annual turnover: £42 million ✓
  • • Balance sheet total: £12 million ✗
  • • Employees: 280 ✓

Result: Meets 2/3 thresholds → SECR required

✗ Company B — No SECR Required

  • • Annual turnover: £28 million ✗
  • • Balance sheet total: £22 million ✓
  • • Employees: 180 ✗

Result: Meets 1/3 thresholds → No SECR required

✓ Company C — Group Rules Apply

UK subsidiary with £15M turnover, £8M balance sheet, 120 employees (below individual thresholds)

But parent group has: £500M consolidated turnover, £200M consolidated balance sheet, 3,000 employees

Result: UK subsidiary must comply with SECR due to group size

Have the Thresholds Changed?

The SECR thresholds have remained unchanged since the regulation was introduced in 2019. They are the same thresholds used to determine "large company" status under the Companies Act 2006.

However, it's worth noting that with the introduction of UK SRS in 2026, companies above certain thresholds may face additional sustainability reporting requirements beyond SECR.

Key Facts
First Required
2019 (for large companies)
Threshold Basis
Companies Act 2006 "large company" definition
Measurement
2 or more thresholds in current or previous year
Group Rules
Apply to UK companies in qualifying groups
Legislative References
Companies Act 2006
Section 465 — Large company thresholds
SI 2018/1155
The Companies (Strategic Report) Regulations 2018
Companies Act 2006
Section 414CB — Strategic report requirements
UK SRS AI Assistant

Hello! I'm your UK SRS and SECR compliance assistant. I can help you:

• Check if you're in scope for UK SRS or SECR • Calculate your reporting deadlines • Explain UK SRS and SECR requirements • Compare SECR vs UK SRS regimes • Guide you through compliance steps

How can I help you today?

Powered by CopilotKit