The large-scale entry of bio-based polymers, such as poly(hydroxybutyrate-co-valerate) (PHBV), in applications commonly occupied by petroleum-based plastics is heavily limited by their poorer mechanical properties, thus, hindering efforts to reduce harmful plastic waste. Prior work to improve these properties has involved short natural fibre reinforcements, which do not produce substantial improvements. In this work, PHBV was simultaneously reinforced with unidirectional flax and toughened with poly(butylene adipate-co-terephthalate) (PBAT) or epoxidized natural rubber (ENR) to produce well-rounded composites. Toughened unidirectional composites were prepared by cryogenic grinding, powder layup and compression moulding. Unidirectional flax addition resulted in 4-fold increases in tensile properties, 3-fold increases in flexural properties and 20-fold increases in impact properties, whilst producing minimal change in the thermal properties. PBAT and ENR phases appeared well bonded to the PHBV within the composite. The addition of PBAT did not cause any significant changes in thermal or mechanical properties. The addition of ENR, however, reduced the tensile modulus and the flexural properties but produced a significant increase in impact strength, attributed to the coarse particle size of ENR. Unidirectional flax reinforcement of PHBV widens the scope of application of PHBV considerably where mechanical properties are of concern, while ENR has significant potential as a bio-based toughening agent for biocomposites.