How Much Does an Accountant Cost in the UK?
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Accountant costs vary depending on who you are, what you need help with and how complex your finances are.
Some people only need a one-off Self-Assessment tax return. Others need regular support with bookkeeping, VAT, payroll, year-end accounts, Corporation Tax and business advice.
This guide gives general UK accountant cost ranges, explains how accountants charge and shows what can affect accountancy fees.
How much does an accountant cost in the UK?
One-off accountancy work, such as a basic Self-Assessment tax return, can cost as little as £150-£500. Ongoing small business accounting is often charged as a fixed monthly fee in the range of £100-£400+ per month.
More detailed support, such as limited company accounts, VAT returns, payroll, bookkeeping and tax planning will tax planning, will usually cost more. This is because there is more work involved and more deadlines to manage.
Typical UK accountant costs
Service or support type Typical pricing format General UK cost range Factors that affect the fee Self-Assessment tax return One-off fee £150-£500+ Income sources, expenses, rental income, capital gains, record quality VAT returns Per return or monthly package £50-£200+ Transaction volume, VAT scheme, bookkeeping quality, deadline pressure Year-end accounts Annual fee or monthly package £250-£3,000+ Business structure, turnover, complexity, Companies House and HMRC filings Small business support Monthly fixed fee £100-£400+ per month Bookkeeping, payroll, VAT, management accounts and advice level Limited company accounting Monthly or annual fee Varies widely Accounts, CT600, salary and dividend advice, payroll, VAT and director support These figures are a general market guide, not Mollan & Co pricing. The price you pay for accounting services will vary depending on your requirements and circumstances.
For example, two businesses may both ask for “year-end accounts”, but one may have clean cloud records, reconciled bank transactions and no VAT. The other may have missing paperwork, several income streams, payroll, director loans and a tight Companies House deadline. The second job will usually take longer and cost more.
How do accountants charge?
Accountants usually charge in one of four ways: fixed fee, monthly package, hourly rate or one-off project fee.
- A fixed fee gives you a clear price for a defined piece of work, such as a tax return, VAT return or set of annual accounts. This can work well when the task is straightforward and the accountant understands exactly what is included.
- A monthly package spreads the cost of services across the year. This is a common choice for small businesses and limited companies that need regular support. It can help with cash flow because you know what you are paying each month rather than facing one larger bill at the end of the year.
- An hourly rate may be used for advisory work, investigations, catch-up bookkeeping or projects where the time needed is less predictable. This can be useful for specialist work, but you should always ask for an estimate before the work starts.
- A one-off project fee may apply to tasks such as setting up a limited company, helping with a new accounting system, dealing with a backlog of records or advising on a specific tax issue.
At Mollan & Co, we offer competitive fixed monthly fees and a free, no-obligation initial consultation. We’ll talk through your business, your records and the support you need before preparing a quote that reflects your situation.
What affects the cost of an accountant?
The cost of an accountant depends on how much work they need to do, how much support you want from them, and the state of your records.
The main factors that affect the cost of accountancy include:
- Whether you are a sole trader, partnership, landlord or limited company
- Your turnover and number of transactions
- Whether you are VAT registered
- Whether you have employees and need payroll support
- Whether you need bookkeeping, management accounts or tax planning
- The quality of your records
- How close your deadlines are
- Whether you use cloud accounting software
- Whether you need regular advice or just annual filing
The state of your records can make a substantial difference. If your bookkeeping is tidy, your bank feeds are reconciled and your invoices and receipts are in one place, your accountant can spend less time sorting paperwork and more time giving useful advice.
On the other hand, messy records usually increase the work involved. Missing invoices, unreconciled bank transactions, unclear expenses and last-minute deadlines can all add time, and time affects cost.
Cloud accounting can help keep your records tidy and bookkeeping smoother. Tools such as Xero give you and your accountant a clearer view of your numbers throughout the year. That makes it easier to spot issues earlier, plan ahead and avoid the January panic that often comes with paper records or spreadsheets.
Accountant costs for self-employed people and sole traders
Accountant costs for self-employed people and sole traders are usually lower than limited company accounting fees because the reporting requirements tend to be simpler.
Costs for self-employed people and sole traders might cover:
- Bookkeeping
- Allowable expenses
- Self-Assessment
- Payments on account
- Tax planning
- ‘Making Tax Digital’ support
Occasionally, sole traders want regular support to keep on top of profit, tax bills and cash flow, and this does increase costs. The same can happen if you have multiple income streams, rental income, capital gains, VAT registration, poor records or a backlog of bookkeeping to sort out.
Mollan & Co supports individuals, sole traders and self-employed people with clear, practical personal tax advice. You can find out more here: Personal Tax Accountants & Self-Assessment Tax Returns
Accountant costs for small businesses and limited companies
Small businesses and limited companies typically need more support than sole traders. If the business has employees, multiple directors, loans, dividends or regular transactions, the work becomes more involved.
Limited company accountancy costs may need to cover:
- Annual accounts
- Corporation Tax returns
- Companies House filings
- Director and shareholder advice
- Payroll
- VAT returns
- Bookkeeping
Many small businesses and limited companies prefer fixed monthly accounting support because it spreads the cost and gives them access to advice throughout the year. This can be especially useful if you need help with cash flow, tax planning, management information or decisions about growth.
At Mollan & Co, we work with small businesses across York, Stamford Bridge and beyond. We aim to act as a long-term accounting partner, not just a filing service. That means helping you understand your numbers, meet deadlines and make better decisions throughout the year.
You can find out more about our support for businesses here: Accounting Services & Small Business Accountants
How much do accountants charge for specific tasks?
Accountant fees vary by task, circumstances, and by accountant. The best way to understand how much an accountant will charge for the work you need is to get in touch with an accountancy firm for a consultation, and they can give you a quote that is tailored to your needs.
How much do accountants charge for tax returns?
For a straightforward Self-Assessment tax return, many UK accountants charge around £150-£500. More involved returns often sit closer to £300-£500+, especially where there are multiple income streams, dividends, capital gains, overseas income or incomplete records.
How much do accountants charge for VAT returns?
VAT return fees often range from around £50-£200+. A simple VAT return with tidy bookkeeping may sit at the lower end. A business with high transaction volumes, multiple sales channels, unusual VAT treatment or messy records will usually cost more.
VAT returns may also be included within a monthly accounting package, particularly for businesses that need bookkeeping, payroll, management accounts or regular advice as well.
How much do accountants charge for year-end accounts?
Year-end accounts can vary widely. For sole traders, fees may start from around £250-£750+, depending on the quality of records and the amount of work involved.
For limited companies, year-end accounts are usually more involved. Typical fees may range from around £500-£3,000+, especially where the accountant also needs to prepare a Corporation Tax return, deal with Companies House filings, review director loans or support with salary and dividend planning.
How much do accountants charge for small businesses?
Small business accountant costs are often charged as a fixed monthly fee. As a general guide, many small businesses pay somewhere between £100 and £400+ per month, depending on what is included.
A basic package may cover annual accounts and tax returns. A more complete package may include bookkeeping, VAT returns, payroll, management accounts, cloud accounting support and regular advice.
When comparing small business accountant fees, check whether the quote includes day-to-day support or only year-end filing. A lower monthly cost may not include the help you need during the year.
How much do accountants charge for limited companies?
Limited company accounting usually costs more than sole trader accounting because there are more responsibilities.
A limited company may need statutory accounts, a Corporation Tax return, director payroll, dividend planning, VAT returns, bookkeeping and Companies House filings. Some directors also need a personal tax return. Speak to the Mollan & Co team about Limited Company accounting for more information.
Is an accountant worth the cost?
For many people, yes. A good accountant should save you time, reduce stress and help you avoid mistakes that can have costly repercussions.
They can help you stay on top of deadlines, claim the right expenses, understand your tax position and make better decisions. They can also help you move away from last-minute filing and towards better planning.
The real value of an accountant often comes from year-round advice. If your accountant only sees your figures after the year has ended, there is a limit to what they can change. If they are involved throughout the year, they can help you plan for tax, improve your bookkeeping, understand cash flow and prepare for growth.
How to choose the right accountant for your budget
Price matters, but it should not be the only factor. The cheapest accountant may not give you the support you need. The most expensive one may include services you don’t use. The right accountant should offer a clear fee, explain what is included and help you feel more in control of your finances.
Before choosing an accountant, ask:
- What is included in the fee?
- Is the support monthly or year-end only?
- Are VAT returns, payroll, bookkeeping and tax returns included?
- What would be charged separately?
- Will I have a named accountant or dedicated contact?
- How quickly can I ask questions?
- Do you work with cloud accounting software such as Xero?
- Can you help me plan ahead, not just file returns?
- Will I receive a clear quote before I commit?
A good accountant should explain things in plain English. You shouldn’t feel confused, rushed or unsure about what you are paying for.
The best way to understand how much it will cost for your circumstances is to speak to an accountant and get a quote.
At Mollan & Co, we combine cloud-based tools with personal support. You will have a dedicated point of contact, clear advice and a team with more than 40 years of local experience. We’re based near York, but we support clients across the UK with modern, practical accounting that still feels personal.
You can speak to our experienced team and book in a free, no-obligation consultation today.
Author ProfileI'm the owner and Managing Director of Mollan & Co Accountants. I'm a skilled and efficient accountant with more than 20 years of experience in the industry.
I developed valuable skills in business and commercialisation through my work in the science and technology departments within the Scottish University sector. Then, in 2001, I formed my own internet-based marketing company, producing and distributing 360° virtual reality tours for the Scottish tourism sector.
I now use my commercial skills, expert tax knowledge and first-hand experience to help other businesses grow and flourish through strong accounting practice.
Our success at Mollan & Co is directly related to the success of our clients.
