Switching
Switching accountants is easier than most people expect.
The two things that put people off — an awkward conversation and a gap in their filings — are both largely avoidable. Here is what actually happens, in order, and who does each part.
Quick answer
How do you switch accountants?
You appoint the new firm, and they write to your old one for professional clearance and your records. You sign an authorisation so HMRC can talk to them, they check what's outstanding, and they take over. It usually takes about two weeks, you can do it at any point in the year, and beyond a short disengagement letter there's nothing you need to negotiate with your old accountant yourself.
Last updated
Step by step
The six steps, and who does each one
You are directly involved in two of these. Your new accountant handles the rest.
- 1
Check your current engagement letter
Look for the notice period and whether anything is owed. Most engagement letters allow you to leave at any time; a few ask for 30 days' notice. Outstanding fees are the one thing that genuinely holds a handover up, because an accountant can exercise a lien over your records until their bill is settled.
- 2
Appoint your new accountant
You sign an engagement letter with the new firm and complete anti-money-laundering identity checks — a legal requirement for every UK accountancy practice, not a formality they've invented. At this point the new firm takes over the process.
- 3
Your new accountant requests professional clearance
The new firm writes to the outgoing accountant asking whether there is any professional reason they shouldn't act, and requesting your records. This is a standard courtesy required by the professional bodies. You don't have to make the call or write the letter yourself.
- 4
Records and handover information are transferred
The outgoing firm passes over the last set of accounts, tax computations, trial balance, capital allowances pools, payroll year-to-date figures and the bookkeeping file or software access. Your accounting records belong to you; the accountant's own working papers do not, and they aren't required to hand those over.
- 5
HMRC authorisations are moved across
You authorise the new firm as your agent for each tax you're registered for — corporation tax, Self Assessment, VAT and PAYE are separate authorisations. This is done through HMRC's agent authorisation process or by signing a form, and it's the step that most often causes a short delay, because HMRC posts a code to you.
- 6
The new firm reviews what's outstanding
Before doing anything else, a good incoming accountant checks what's actually due and when: filing deadlines, unfiled returns, any HMRC correspondence in progress, and whether prior-year positions look right. This is where problems inherited from a poor handover get caught rather than repeated.
Be honest
When you shouldn’t switch
Moving firm is not always the answer, and a page that pretends otherwise isn’t worth reading.
You're mid-way through an HMRC enquiry. Not impossible, but changing representation part-way through adds cost and risk. Usually better to see it out, then move.
Your only complaint is the fee, and you haven't raised it. A conversation is cheaper than a handover, and a good accountant would rather re-scope than lose you.
You're days from a filing deadline. Authorisations won't land in time. Get the deadline met, then start the switch with room to breathe.
You want someone local and we're 30 miles away. If proximity is genuinely what you're buying, a firm nearer to you is the better answer — we'll tell you that on the call.
FAQs
Questions people ask before switching
When is the best time to switch accountants?
You can switch at any point in the year and you don't need to wait for your year end. That said, the quietest handover is usually just after a set of accounts has been filed, because the records are in a settled state. Don't wait if something is going wrong — leaving a bad situation until year end usually makes it worse, not tidier.
Do I have to tell my old accountant myself?
Only that you're leaving. Most people send a short email confirming they're moving on and that their new accountant will be in touch. Everything after that — the clearance request, the records, the handover — is between the two firms.
Will my old accountant refuse to hand over my records?
It's rare. The most common reason a handover stalls is unpaid fees: an accountant can hold a lien over records until their bill is settled. Your books and records belong to you, but the firm's own working papers belong to them and they aren't obliged to release those.
How long does switching accountants take?
Usually about two weeks from appointment to fully operational. Professional clearance and records typically come back within a week or so; the HMRC agent authorisations are the slower part, because HMRC posts an authorisation code to you that you then pass to your accountant.
Does switching accountants cost anything?
There's no fee for the switch itself. You'll settle whatever you owe your outgoing accountant, and your new fee starts from the point you're engaged. We don't charge an onboarding or setup fee — the fixed monthly fee we quote is what you pay.
Will HMRC think something is wrong if I change accountant?
No. Changing accountant is routine and carries no implication of anything untoward. HMRC simply updates who is authorised to act for you.
What if my books are a mess?
It's one of the most common reasons people move, and it isn't something to be embarrassed about. Tell us at the discovery call so we can scope it honestly — catch-up work is quoted separately from ongoing fees rather than discovered halfway through and billed as a surprise.
Let’s get to work.
Tell us a bit about your business and what you’re looking to achieve — we’ll come back to you within one working day with a clear path forward.