Practice Management Systems: why UK accountancy firms are coping, not thriving

UK accountancy firms have invested heavily in technology over the past decade. Practice management systems sit at the centre, supported by so many line of business applications.

And yet, despite all this investment, frustration persists.

To understand why, we surveyed senior leaders from UK accountancy firms to explore how well their practice management systems and wider app stacks are really working. The findings reveal a consistent picture: firms are not short of software, but many are struggling to turn it into a connected, scalable operating model.

A market built on a small number of core platforms

The practice management market remains dominated by a small number of long-established systems.

What stands out is not just which systems firms use, but how they evolve around them. Rather than replacing their core platform, many firms layer additional tools on top to fill functional gaps. Over time, this creates complex app stacks that grow organically rather than strategically.

Satisfaction without enthusiasm

When asked how satisfied they are with their current practice management systems, most firms sit firmly in the middle.

The largest group describe themselves as “somewhat satisfied”, closely followed by those who feel neither satisfied nor dissatisfied. Only a small minority say they are genuinely satisfied, while a notable proportion report being very dissatisfied.

This matters because neutrality often signals latent frustration. Firms may not feel enough pain to force immediate change, but neither do they feel confident their systems are helping them operate at their best.

Where practice management systems fall short

The clearest insights emerge when firms rate their systems against specific capabilities.

Three areas consistently perform worst.

• Automation of routine tasks is the biggest gap. Nearly three quarters of respondents rate their systems as ineffective here, despite automation being one of the most common promises of practice management software.
• Integration with other tools follows closely behind. Around six in ten firms say their systems are ineffective at integrating with the rest of their app stack.
• Staff collaboration also scores poorly, with over half reporting that their systems do not support collaboration effectively.
• Better integration between systems
• More automation to reduce routine work
• Clearer reporting and dashboards
• Modern, cloud first experiences that are easier to use

These are not minor shortcomings. As firms grow, automation, integration and collaboration move from being helpful to being essential. Without them, systems that once felt adequate begin to slow the business down.

Integration is the defining pain point

When asked how well their tools integrate with each other, most firms describe the experience as either “not at all” or “just ok”. Fewer than one in five say their systems integrate well.

Poor integration has a compounding effect. Data is duplicated, information becomes inconsistent, and staff spend time reconciling systems rather than serving clients. Reporting becomes fragmented, making it harder for leaders to get a clear view of performance.

Several respondents also highlighted limited APIs and vendor restrictions, leaving firms feeling locked into ecosystems that are difficult to adapt.

Day-to-day friction is common

Technology issues are not rare exceptions. Around half of firms experience problems such as performance or reliability issues on a weekly basis, with most of the remainder encountering issues at least occasionally.

Individually, these problems may seem manageable. Over time, they add up. Productivity suffers, staff frustration grows, and small inefficiencies quietly erode margins. There should also be consideration for the time spent to report, workaround and fix these day to day frictions.

Confidence in future growth is fragile

When asked whether their current tools will support growth over the next two to three years, confidence is mixed at best.

Around half of respondents say they are either not very confident or not confident at all. A further group remain unsure. Only a small minority feel extremely confident that their current setup will scale with the firm.

This lack of confidence is telling. Growth places additional strain on systems and processes, and without strong integration, automation and insight, scaling becomes harder rather than easier.

What firms want to change

When given the opportunity to describe what they would change first, four themes emerge repeatedly:

Taken together, these responses point to a simple conclusion. Firms do not necessarily need more tools. They need their tools to work together.

From coping to scaling

The survey suggests many UK accountancy firms are coping with technology rather than being supported by it.

The opportunity now is to shift focus away from individual products and towards connected ecosystems that reduce friction, improve insight and scale with the firm.

Click here to view a visual summary of the findings

Whether you need help connecting your applications, dashboards to extract your practice information, migrating data, reviewing your application stack or a slick way to onboard your clients and collate tax information then reach out to explore your options.