Invoicing guide
How to invoice in the UK
What a valid invoice needs in the UK, how VAT works, and what is changing. Checked 22 September 2026.
| Tax | VAT |
|---|---|
| Rate | 20% standard, 5% reduced, 0% zero-rated |
| Registration | Register once taxable turnover passes £90,000 in any rolling 12 months. You can register voluntarily below that. |
| Currency | GBP |
| E-invoicing | No mandate yet. The government has confirmed mandatory B2B VAT e-invoicing from April 2029, phased in, with the detailed rules still to be published. Making Tax Digital already applies to VAT returns. |
| Tax authority | HM Revenue & Customs (HMRC) |
What a valid invoice must include
- A unique, sequential invoice number
- Issue date and the time of supply (tax point)
- Your business name, address and VAT number
- Your customer's name and address
- Description, quantity and unit price of each item
- VAT rate for each item
- Net total, VAT total in pounds and the gross total
- Reverse-charge or zero-rate wording where it applies
Good to know
Invoices of £250 or less can use a simplified VAT invoice. Late B2B payments can carry statutory interest of 8% above the Bank of England reference rate plus fixed compensation.
Invoicing the UK clients from abroad
If you are not based in the UK, the rules of your own country usually decide what goes on the invoice. Business-to-business services supplied across borders are often outside the scope of local tax or fall under reverse charge. Invoice in GBP if your client prefers it, so they pay the exact amount.
How Pigee Invoice helps
- Invoices in GBP and 50+ other currencies
- Tax treatment suggested from your country and your client's, including reverse charge
- Sequential, month-based invoice numbers such as INV-OCT-001
- A pay page with card payment and your bank details
This guide is general information, not tax advice. Tax rules change; check with HM Revenue & Customs (HMRC) before relying on it.
Questions people ask
What is the VAT rate in the UK?
20% standard, 5% reduced, 0% zero-rated.
When do I have to register for VAT in the UK?
Register once taxable turnover passes £90,000 in any rolling 12 months. You can register voluntarily below that.
Is e-invoicing mandatory in the UK?
No mandate yet. The government has confirmed mandatory B2B VAT e-invoicing from April 2029, phased in, with the detailed rules still to be published. Making Tax Digital already applies to VAT returns.
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