Cost of Outsourcing Accounting: A Quick Guide for UK Businesses

Running your own business often means wearing a lot of hats - but that isn't always the best approach if outsourcing a task can result in cost savings and/or better-quality work. This is especially the case with specialist tasks like accounting - but whta does it actually cost to outsource your accounting, and how can you budget for it with confidence?

In this guide, we've broken down the cost of outsourcing accounting for UK businesses, covering everything from monthly packages to one-off Self Assessment fees so you know what to expect and how to plan ahead.

We've also explained how Wise Business can support your accounting setup by helping you keep accurate, up-to-date financial records throughout the year.

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Key Takeaways

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The contents of this article is for informational purposes only and does not constitute legal or tax advice. Decisions related to tax should be made after thorough research, consultation and verification from a qualified financial and legal advisor.

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Average cost of accounting services for UK businesses

The cost of outsourcing your accounting as a UK business depends on what you need, how complex your finances are, and who you hire.

As a rough guide, accounting for small businesses in the UK typically ranges from £150 to £1,200 per year.¹

At the lower end, that covers a straightforward annual Self Assessment tax return. At the higher end, it includes ongoing bookkeeping support and year-round tax advice.

Here's a quick overview of what you can expect to pay for individual services:^1,2

These are market averages sourced from UK accountancy fee guides. Your actual cost will depend on the factors covered later in this article.

Monthly accounting packages for self-employed individuals

Many UK businesses find it more cost-effective to pay a monthly fee for a bundled package rather than paying per service.

Online accountancy firms currently offer packages starting from around £24.50–£50 per month, plus VAT.³

A typical monthly package at this price point usually includes:

• Year-end accounts
• Self Assessment tax return
• Cloud accounting software
• Basic tax advice and support

Higher-tier packages cost more and may include:

• VAT return preparation and filing
• Payroll (if you employ anyone)
• Dedicated accountant access
• MTD (Making Tax Digital) compliance support

For businesses with straightforward finances, the entry-level tier is often sufficient, though individual needs may vary.

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💡 Wise Business integrates with numerous accounting software to help keep records organised. Transactions sync automatically, which may reduce manual reconciliation work.

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One-off costs: Self Assessment and tax returns

If you don't need year-round support, a one-off Self Assessment filing is a common option for UK businesses.

In 2026, a straightforward Self Assessment return for a business with a single income source typically costs between £150 and £350.¹

A more complex return, such as one involving multiple income streams, rental income, capital gains, or foreign earnings, is more likely to fall in the £400–£800 range.²

Factors that can increase costs include:

• Disorganised records. Additional time may be required to organise documents.
• Multiple income sources. This can increase complexity.
• Late submissions. Some accountants may charge more for urgent work close to deadlines.

The Self Assessment filing deadline is currently 31 January each year for the previous tax year.¹² Missing it means an initial £100 penalty, with further penalties if you're more than 3 months late.⁴

Getting your records to your accountant by October can help reduce the risk of additional charges.

This publication is provided for general information purposes and does not constitute legal, tax or other professional advice from Wise Payments Limited, its subsidiaries or affiliates. It should not be treated as advice from, or a communication with, HMRC, and it is not intended as a substitute for obtaining business advice from a tax advisor or any other professional.

Factors that influence outsourced accounting fees

Not all businesses have the same accounting needs. Here's what determines where your costs fall on the scale.

Volume and complexity of transactions

The more transactions you have, the more time your bookkeeper or accountant may need, which can affect pricing.

Whether you're VAT registered

If your turnover exceeds the current VAT threshold of £90,000 per year,⁵ you'll need to register for VAT and submit returns. Most accountants charge £100–£300 per quarter for this.²

VAT registration can also change how your records are maintained.

Making Tax Digital (MTD)

From April 2026, businesses and landlords with qualifying income above £50,000 are required to use Making Tax Digital for Income Tax.⁹

This means you must:

• Keep digital records
• Use compatible software
• Submit quarterly updates to HMRC

The threshold is currently set to drop to £30,000 from April 2027 and to £20,000 from April 2028.¹⁰

MTD changes how accounting is managed, including more frequent submissions.

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💡 Wise Business integrates with MTD-compatible software, helping maintain digital records.

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Location

Accountants in London and the South East may charge more than those in other parts of the UK.¹¹

Online accounting services may offer more consistent pricing regardless of location.

Hourly rates vs fixed packages

Typical hourly rates:

• £25 to £60 per hour for bookkeepers
• £50 to £150 per hour for accountants²

Fixed packages may suit predictable needs, while hourly billing may work for occasional services.

Simplify Your Business Finances with Wise

Managing your accounting is easier when your financial data is organised and accessible. Wise Business can help you keep transactions in sync with accounting tools, supporting clearer financial visibility.

But that's not all. With Wise Business, you can:

• 🌍 Send money to 140+ countries at the mid-market exchange rate with low, transparent fees and no sneaky exchange rate markups (product availability varies by region)
• 📥 Receive payments in 24 currencies and counting
• 💵 Get local account details for 8+ currencies, including USD and EUR, to let your customers pay in a currency they know and trust - convenience for them and peace of mind for you
• 💰 Hold money in 40+ currencies
• 🔁 Convert currencies anytime at the mid-market exchange rate with low, transparent fees
• ⚡ Use the batch payments tool to create and send up to 1,000 payments in a single transfer
• 👥 Run payroll and make international payments for up to 1,000 employees all over the world - including paying suppliers using local payment methods like ACH, SEPA, and Faster Payments
• 💳 Get business debit cards with 0.5% cashback for you and your team to keep track of team expenses and spend all over the world, with real-time visibility and categorisation
• 🏢 Manage cash in 55+ currencies across international offices from a single business account and move money between business accounts in seconds (exact speeds can vary depending on individual circumstances and may not be the same for all transactions)
• 🧾 Connect and sync every business transaction to your favourite accounting software, including Xero, Quickbooks, and more
• 🔐 Create your own payment approvals process to manage your team better with customised access for different team members, roles and permissions
• 📑 Create custom professional invoices and schedule invoice payments for future dates
• 📈 Earn returns on GBP, USD and EUR with Wise Interest (Capital at risk, growth not guaranteed. Your money is at risk if governments default or interest rates go negative. Visit https://payout-surge.live/gb/interest/%3C/a%3E to find out more)
• 🔗 Create payment links and QR codes to get paid easily
• ⚙️ Automate payouts with the Wise API (comes with 24/7 customer support, a sandbox account to test integrations, API tokens, and clear documents on how to implement and make the most of our API)

Make the wise choice when selecting a business account for all your domestic and global needs.

Be Smart, Get Wise.

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*Disclaimer: The UK Wise Business pricing structure is changing with effect from 26/11/2025 date. Receiving money, direct debits and getting paid features are not available with the Essential Plan which you can open for free. Pay a one-time set up fee of £50 to unlock Advanced features including account details to receive payments in 22+ currencies or 8+ currencies for non-swift payments. You’ll also get access to our invoice generating tool, payment links, QuickPay QR codes and the ability to set up direct debits all within one account. Please check our website for the latest pricing information.

FAQs

Will Making Tax Digital (MTD) increase my accounting costs?

It might, depending on your setup. MTD requires digital record-keeping and quarterly submissions to HMRC rather than a single annual tax return.⁶

Is it cheaper to do my own accounting or hire a professional?

It depends on your situation. A straightforward Self Assessment return costs £150–£350 with an accountant.¹

Do accounting fees change if I am VAT registered?

Yes. You'll need VAT returns prepared and filed, usually costing £100–£300 per return.²

Are accountant fees for businesses tax-deductible?

Yes. HMRC currently confirms that professional fees for managing your business finances are allowable expenses.⁷

What records do I need to keep as a business?

HMRC requires businesses to keep records of all business income and expenses.⁸

Sources:

1. Cost of Sole Trader Accounting – Sleek UK
2. UK Accountant Cost 2025 – ATF Tax
3. Compare Sole Trader Accountants – ByteStart
4. Self Assessment Penalties – GOV.UK
5. Register for VAT – GOV.UK
6. Making Tax Digital Extension – GOV.UK
7. Expenses if You're Self-Employed – GOV.UK
8. Self-Employed Records – GOV.UK
9. Making Tax Digital for Income Tax – GOV.UK
10. MTD Threshold Reduction – GOV.UK
11. Accountant Cost Pricing – Audit Consulting Group
12. Self Assessment Deadlines – GOV.UK

Sources last checked on 29-Apr-2026