How Much Does a Bookkeeper Cost in the UK? (2026 Guide)

What do bookkeepers charge in the UK?

For most UK sole traders and small businesses, bookkeeping costs fall into one of two pricing models: hourly rates or fixed monthly packages.

Hourly rates typically range from £20 to £55 per hour in 2026. The wide range reflects experience, location, and whether you are using cloud software. A remote bookkeeper using Xero will generally be more efficient — and therefore less expensive overall — than someone working from paper records.

Monthly packages are more common for ongoing clients and typically run from £120 to £500 per month. A Starter package covering basic transaction coding and bank reconciliation sits at the lower end. A Growth package that includes management accounts and VAT returns sits in the middle. A Scale package with full advisory support sits at the top.

What affects the price?

Several factors push the cost up or down.

Volume of transactions. A sole trader with 50 transactions a month is cheaper to maintain than a limited company with 500. More transactions means more time — and more time means higher fees.

Software in use. Cloud-based bookkeeping in Xero or QuickBooks is faster than spreadsheets or desktop software. If you are already on cloud software with bank feeds set up, your bookkeeper will spend less time on data entry and more on review — which usually means lower fees.

Frequency of reporting. Monthly reconciliation and reporting is more expensive than quarterly. But quarterly reconciliation often means problems compound, and year-end clean-up costs more than staying on top of it monthly.

VAT returns. If you are VAT-registered, expect to pay an additional £40 to £80 per quarter for VAT return preparation and submission. Under MTD for VAT, this must be done through compatible software.

Location. London-based bookkeepers typically charge more than those working remotely from elsewhere in the UK. A remote bookkeeper can deliver the same quality at a lower rate — especially with cloud software removing any need for physical access to your records.

Is paying for a bookkeeper worth it?

For most UK sole traders earning above £30,000 a year, the answer is yes. The calculation is simple: if your time is worth £50 an hour and bookkeeping takes you 4 hours a month, that is £200 of your time spent on a task you dislike and probably do not do perfectly. A bookkeeper doing the same work costs less and does it better.

Beyond the time saving, accurate books mean:

• A lower tax bill (by claiming all allowable expenses correctly)
• Confidence in your cash position at any point
• Faster, cheaper year-end accounts preparation
• Clean records if HMRC investigates

The real question is not whether a bookkeeper is worth it. It is whether your books are costing you more by not having one.

What is included in a bookkeeping package?

A typical UK bookkeeping package includes bank reconciliation, transaction categorisation, invoicing and credit control support, and monthly or quarterly management reports. It does not automatically include VAT return filing, payroll, or year-end accounts — those are usually priced separately.

Always check exactly what is included before committing. Ask specifically: is VAT included? Are management accounts monthly or quarterly? Who prepares the self-assessment?

Questions to ask before hiring a bookkeeper

Before signing an engagement letter, ask:

• Are you Xero-certified or a QuickBooks ProAdvisor?
• How do you handle communication — email, phone, or a client portal?
• What software do you use, and who pays for the subscription?
• Do you have professional indemnity insurance?
• What is your turnaround time for monthly reports?

A professional bookkeeper will have clear, written answers to all of these. If they cannot give you a fixed monthly price upfront, that is a red flag.