UK Invoice Details
Your Logo
Your Business Details
Client Details
Invoice Details
Services / Line Items
| Description | Qty | Rate | Amount |
|---|
£0.00
-£0.00
£0.00
£0.00
Payment Details / Notes
Live Preview
What Must a UK Invoice Include?
HMRC sets out the required information for a valid UK invoice. All UK businesses — sole traders, freelancers, and limited companies — must include:
- A unique invoice number (sequential, never reused)
- Your business name and address
- Your client's name and address
- The invoice date
- A clear description of goods or services provided
- The amount(s) charged for each line item
- The total amount due
If you are VAT-registered, you must also include:
- Your VAT registration number (e.g. GB 123 4567 89)
- The VAT rate applied to each item
- The net amount (excluding VAT)
- The VAT amount shown as a separate line
- The gross total (including VAT)
UK VAT Rates — Quick Reference
| VAT Rate | Applies To | Examples |
|---|---|---|
| 20% Standard | Most goods and services | Professional services, software, clothing (adult), electronics |
| 5% Reduced | Specific categories | Home energy, children's car seats, sanitary products, renovation work |
| 0% Zero rated | Essentials | Most food, children's clothing, books, newspapers, exported goods |
| Exempt | Certain sectors | Insurance, financial services, education, health and medical |
Do You Need to Charge VAT?
VAT registration is mandatory when your taxable turnover exceeds £90,000 in any rolling 12-month period. Below this threshold, you cannot charge VAT on your invoices (unless you voluntarily register).
If you are not VAT-registered:
- Select "0% — Not VAT registered" in the VAT Rate selector above
- Leave your VAT Number field blank
- Your invoice total is the net amount — no VAT is added
- Do not add "VAT: £0.00" to your invoice — simply omit the VAT line
Sole Trader vs Limited Company Invoices
| Requirement | Sole Trader | Limited Company |
|---|---|---|
| Trading name on invoice | Your name or trading name | Registered company name (exact) |
| Company reg number | Not required | Required on all business letters and invoices |
| Registered address | Business address | Registered office address (Companies House) |
| VAT number | If VAT registered | If VAT registered |
| Director names | N/A | Optional on invoices but required on letters |
UK Invoice Payment Terms
The most common payment terms for UK businesses and freelancers:
- Net 30 — Payment due 30 days from invoice date. Standard for most B2B UK work.
- Net 14 — Payment due 14 days. Increasingly common for freelancers and smaller agencies.
- Due on Receipt — Payment expected immediately. Used for small one-off jobs.
- 50% upfront — Deposit before starting. Recommended for new clients or large projects.
Under the Late Payment of Commercial Debts Act 1998, UK businesses have the automatic right to charge 8% above the Bank of England base rate on overdue B2B invoices. You can also claim reasonable debt recovery costs. State this in your payment terms to deter late payment.
Frequently Asked Questions
UK invoicing rules for freelancers, sole traders, and limited companies
What must a UK invoice include?+
A UK invoice must include: a unique invoice number, your business name and address, your client's name and address, invoice date, a clear description of goods or services, the amount(s) charged, and the total amount due. If you are VAT-registered, you must also include your VAT number, the VAT rate, the VAT amount, and the gross total.
Do I need to charge VAT on UK invoices?+
Only if you are VAT-registered. VAT registration is mandatory when your taxable turnover exceeds £90,000 in a rolling 12-month period. Below this threshold, you cannot charge VAT unless you voluntarily register. If you are not VAT-registered, leave the VAT fields blank.
What is the VAT rate in the UK?+
The standard VAT rate in the UK is 20%, which applies to most goods and services. A reduced rate of 5% applies to items like home energy. A zero rate (0%) applies to most food, children's clothing, and books. Some items are VAT-exempt entirely.
What is the difference between a VAT invoice and a regular invoice?+
A VAT invoice is required when a VAT-registered business charges VAT. It must show your VAT registration number, the VAT rate charged, the net amount (excluding VAT), the VAT amount, and the gross total (including VAT). A regular invoice (for non-VAT-registered businesses) does not include these fields.
Can sole traders and freelancers use this UK invoice generator?+
Yes. InvoFree's UK invoice generator works for sole traders, freelancers, limited companies, and any UK-based business. Add your VAT number if VAT-registered, or leave it blank if you are below the threshold. Download a professional GBP invoice PDF instantly — no signup required.
More free invoice tools: