Knowing how to switch accountants is one of those things people put off for years, usually out of a vague fear that it will be awkward or complicated. It is neither. The process is well established, largely handled between the professionals themselves, and you can move without any disruption to your compliance or your deadlines. This 2026 guide walks you through exactly how to switch accountants in the UK, what happens behind the scenes, and how to time it so nothing falls through the cracks.

Signs it is time to move

People rarely switch on a whim. The usual triggers are consistent and worth naming, because if several apply to you, it is probably time:

  • Slow or unclear communication — you chase them, they rarely update you.
  • Surprise bills, or fees that never quite match what was quoted.
  • Work that is always last-minute, leaving no time for planning.
  • No proactive advice — they file what you give them and nothing more.
  • They are still not helping you get ready for Making Tax Digital.
  • You have simply outgrown them, or they have stopped investing in modern software.

None of these require you to burn a bridge. Switching is a normal business decision and good firms understand it.

How to switch accountants: the step-by-step process

Here is the full sequence, in order.

1. Choose your new firm first

Never resign the old one until the new one is lined up. Check the new firm is registered with a recognised body (such as the ACCA), that they use software that suits you, and that the scope and price are clear. Look at what they actually cover — our services and pages set that out plainly, which is exactly what you want to see before committing.

2. Notify your current accountant

A short, polite message is all it takes: you have decided to move your affairs to another firm and you are giving notice. You do not owe a lengthy justification. Check your engagement letter for any notice period or outstanding-fee terms, and settle anything owed, because an accountant can withhold handover while fees are unpaid.

3. Your new accountant requests professional clearance

This is the heart of the process, and it happens between the two firms. Your new accountant writes to your old one with a professional clearance letter (sometimes called a disengagement or handover letter). It asks two things: whether there is any professional reason they should not act for you, and for the handover of your records and information. This is standard professional courtesy and etiquette across UK practice.

4. You authorise the release of information

Your old accountant needs your permission to share your data with the new one, so you will sign a short authority. This clears the way for records to be transferred and for HMRC agent authorisations to be updated.

5. Records and authorisations are handed over

The outgoing firm passes across the essentials: prior-year accounts and tax computations, trial balances and any working papers they are obliged to share, payroll data, VAT records, and details needed to continue. Your new firm then sets up as your agent with HMRC for the relevant taxes.

What information changes hands

To make the handover smooth, expect the following to move across:

  • Latest signed accounts and the supporting trial balance.
  • Tax computations and copies of submitted returns.
  • Capital allowances and fixed asset records.
  • Payroll and pension records if you employ people.
  • VAT records and the current filing position.
  • Access to, or exports from, your bookkeeping software.

If your bookkeeping is messy, this is the moment it shows — and it can slow the handover. If you suspect that is you, our guide on being behind on bookkeeping will help you tidy up before or during the move.

Timing: when to switch and when not to

You can switch at any time of year, but timing well avoids stress. The calmest window is soon after your year end or return has been filed, when there is no live deadline. Avoid moving in the final days before a filing deadline if you can, because a rushed handover is where errors creep in. If you must move close to a deadline, tell both firms clearly who is responsible for the imminent submission so it does not fall between them.

Understand the split between bookkeeping and tax

It helps to be clear about who does what. Ongoing bookkeeping, reconciliation and payroll can sit with one provider, while tax returns and formal accounts sit with a licensed practitioner. Many businesses deliberately separate the two — clean books from a dedicated bookkeeper, filed returns from a tax adviser. If you want to understand that division properly, read bookkeeper vs accountant, explained properly.

Common worries, answered

  • Will there be a gap in compliance? No, if you line the new firm up first and hand over cleanly. Your obligations continue seamlessly.
  • Will my old accountant be difficult? Rarely. Professional clearance is routine, and reputable firms handle it without drama.
  • Do I have to explain why I am leaving? No. A simple, courteous notice is enough.
  • What if fees are outstanding? Settle them — unpaid fees are the one thing that legitimately holds up a handover.

How FINOVAY can help

FINOVAY makes switching painless on the bookkeeping side: we handle the software transfer, get your records clean and current, and coordinate with your incoming or existing tax adviser so nothing is dropped. We do the bookkeeping and finance operations, not the tax filing itself. If you are weighing up how to switch accountants and want a smooth handover, talk to us and we will walk you through it.