Accounting Software

Accounting software is the one recurring cost most sole traders take on, and the one where the headline price is least likely to be what you pay.

If you are not sure you need it at all, start with whether a sole trader actually needs accounting software — plenty do not, yet — and what the genuinely free options do and do not cover. Making Tax Digital changes that calculation for many people, so check which software HMRC actually recognises before paying for anything.

If you have decided to pay, the full comparison is the starting point, and FreeAgent against Xero is the choice most people end up making. Two things worth knowing before you commit: Xero’s UK prices went up on 1 September 2026 — Ignite is now £18 a month, up from £16, and the Simple plan is the only one that does not move — and if you bank with NatWest, Royal Bank of Scotland, Ulster Bank or Mettle, FreeAgent comes free with the account. New to Xero specifically? What Xero is and how it works day to day.

Individual reviews cover QuickBooks, Sage and Zoho Books. And if you already have software and want to leave, switching without losing your records is the one to read first.

Prices checked 26 August 2026. Providers change pricing between updates — confirm on the provider’s own page.