What to charge for accounting and bookkeeping services: UK rates and a fee-setting method

Most UK bookkeepers charge around 20 to 45 pounds an hour, or a fixed monthly fee of roughly 100 to 500 pounds depending on transaction volume and complexity. Accounts and tax work runs higher. Set your fee from the value and the time a client actually takes, not the going rate, and price the job rather than the hour wherever you can.

This guide is for the person running the practice, not the business owner trying to work out what an accountant will cost them. It gives you the UK benchmark rates, then the part most pricing articles skip: how to choose a pricing model, how to price a real client end to end, and why a confident fee is worthless if the enquiry call rings out to voicemail.

What actually drives an accounting fee

The going rate tells you almost nothing on its own, because two clients who look identical on paper can take wildly different amounts of work. Before you quote anything, the fee should flex with a handful of real drivers:

• Volume. Transactions per month, bank lines, sales invoices, expenses. A sole trader with thirty transactions is a different job from a shop with three thousand.
• Complexity. VAT, payroll, multiple income streams, foreign currency, stock, a poorly kept ledger that needs cleaning up first.
• Frequency. Monthly management accounts cost more than an annual tidy-up, but they also make you stickier and smooth your cashflow.
• Scope. Bookkeeping only, or bookkeeping plus year-end accounts, plus the tax return, plus payroll, plus advice when they ring with a question.
• Region and client size. London and the South East carry a clear premium, and a growing limited company will pay more than a side-hustle sole trader for the same line of work.

Get those drivers straight in your head and the benchmark numbers below become a starting frame, not a price list.

UK rate benchmarks: what to charge clients

Here are the going rates across UK practices, as benchmarks to price against rather than fixed figures. Treat them as the going rate, not your rate: they tell you whether you are roughly in the right area, not whether the number covers your costs and pays you a wage.

London and specialist work sits at the top of each range; routine sole-trader work sits at the bottom. The numbers move every year, so use them to gut-check a quote rather than to copy. The real skill is choosing the right model to deliver the fee in, which is the next section.

Pricing models: hourly vs fixed vs value vs tiered

How you package the fee matters as much as the number. Most practices grow out of hourly billing the moment they get any good at the work, and for one simple reason: hourly pricing punishes you for being efficient.

For most practices the sweet spot is a fixed monthly fee for a clearly defined scope, reviewed once a year. It gives the client a predictable number, it stops you billing your own speed away, and it turns the sales conversation from "what is your hourly rate" into "what do I get for that". Hold the hourly figure back as an internal costing tool, not your headline price.

Value pricing, where you charge for the outcome rather than the inputs, earns the most per hour once you have the reputation to support it. Tiered packages, say a Starter, Growth and Complete tier, let you productise that so a prospect can place themselves and you quote in minutes rather than days.

A worked example: pricing a small limited company

Benchmarks are abstract, so price a real one. Take a small limited company: VAT registered, around 150 transactions a month, two people on payroll, reasonably tidy records. They want bookkeeping, VAT, payroll, year-end accounts and the corporation tax return, all in.

Cost it internally first, on time:

• Monthly bookkeeping and reconciliation: say four hours a month at an internal rate of 35 pounds, so about 140 pounds.
• Quarterly VAT: roughly one hour a quarter, around 12 pounds a month spread.
• Payroll for two: a small fixed cost, say 20 pounds a month.
• Year-end accounts and the corporation tax return: budget around 900 pounds a year, which is about 75 pounds a month spread.

That stacks to roughly 247 pounds a month on time alone. Now package it: quote a clean fixed fee of 285 pounds a month, which covers the work, builds in a margin for the questions they will ring with, and reads as a single confident number rather than a list of line items. If their records were a mess, or volume doubled, you would scope a higher tier, not quietly absorb the extra. That is the whole game: cost on time, quote on value, review every year.

Quote fast, and answer the call that asks for the quote

Here is the part no pricing guide tells you, and it is the one that decides whether your fees ever turn into income: a perfect fee is worthless if you are not there to quote it.

Most accounting and bookkeeping enquiries still start with a phone call, often from a business owner who has just fallen out with their last accountant or panicked about a deadline. They are ringing two or three practices, not one. Whoever picks up, sounds calm, and gets back with a clear number first tends to win, almost regardless of price. The practice that lets the call go to voicemail at 4pm on a Friday has lost the client before fees ever came up.

So speed-to-lead beats being the cheapest. The enquiry your website and referrals worked to generate is a retainer the marketing already paid for, and it walks straight to a competitor the moment the phone rings out. If you want more of those enquiries in the first place, our guide on how to get more accounting clients covers the channels that fill the pipeline and the lead-capture step most firms skip.

Common fee-setting mistakes

The numbers above will keep you in the right ballpark. These are the habits that quietly erode the year even when your rates look fine:

• Defaulting to hourly. It caps your earnings at the moment you get good and invites clients to audit your time. Cost on time, quote a fixed fee.
• Never reviewing fees. Inflation, scope creep and a client who has grown all eat your margin. Put a fixed annual review date on every engagement.
• Absorbing scope creep. "Can you just also do the payroll" is a new line of work, not a favour. Re-scope and re-quote rather than swallowing it.
• Pricing against the firm down the road. You do not know their costs, their efficiency or their take-home. Build your fee from your own numbers, then check it against the benchmark, never the other way round.

The point is not the exact number

Your fees will differ from the worked example, and they should. A London postcode, a specialism, a leaner software stack or a niche of higher-value clients all move the figure. What does not change is the method: understand the drivers, price the job not the hour, package it as a confident fixed fee, and review it every year.

Run your own version this week on your three most awkward clients and you will almost certainly find one you are carrying at a loss. Then make sure the next enquiry actually reaches you: see how call answering for accountants fits the picture, and our roundup of the best accounting practice management software for the tools that keep your scoping, billing and reviews tight.