Xero accountants in London
Xero, set up and runthe way it should be.
We work in Xero every day. Whether you are starting fresh, moving from another system or untangling an account that has drifted, we make it accurate, connected and useful.
What makes your finances different.
Set up once, wrong forever
A chart of accounts copied from a template, tax rates left at defaults and an opening balance that never reconciled will follow you into every return and set of accounts.
Bank feeds need tending
Feeds drop, duplicate or lag. Rules written in a hurry miscode transactions for years. Someone has to own the reconciliation.
Receipts live everywhere
Email, phone photos, supplier portals. Without a capture tool feeding Xero, the year-end becomes an archaeology project.
Reports are only as good as the data
Xero's reporting is strong, but profit and loss by tracking category, cash flow forecasts and budgets only mean something if the coding is consistent.
What we do for you.
- Set up Xero with a chart of accounts, tax rates and tracking categories that suit your business
- Migrate from spreadsheets, QuickBooks, Sage or FreeAgent with reconciled opening balances
- Connect bank and card feeds, write bank rules and keep reconciliation current
- Set up Hubdoc or Dext so receipts and bills flow into Xero automatically
- Run Xero Payroll with RTI submissions and pension auto-enrolment
- File VAT returns directly from Xero under Making Tax Digital
- Build monthly reporting packs, budgets and cash flow forecasts
- Train you and your team on the parts of Xero you actually need
The tax rules that matter here.
- Making Tax Digital for VAT
- All VAT-registered businesses must keep digital records and file through compatible software. Xero files directly to HMRC, with digital links from the records to the return.
- Making Tax Digital for Income Tax
- Sole traders and landlords with qualifying income over £50,000 must send quarterly updates from April 2026, with lower thresholds in 2027 and 2028. Xero supports the quarterly submissions and the year-end declaration.
- Software as an expense
- Xero subscriptions are a deductible business cost. Where a subscription is included in your accountant's fee, the fee is deductible in the same way.
- Digital record keeping
- HMRC requires VAT records to be kept digitally for six years. Attaching source documents in Xero, through Hubdoc or Dext, satisfies the requirement and makes HMRC enquiries simpler.
Rules and rates are those in force for 2026/27 at the time of writing. Check your own position before acting.
What Xero does for your business
Xero is cloud accounting software used by millions of small businesses worldwide. Your bank transactions flow in each day, you send invoices and pay bills from one place, and your accountant can see the same live figures you do.
Bank feeds
Transactions arrive from your business bank each day and Xero suggests matches, so reconciling takes minutes, not hours.
Invoices and quotes
Send branded invoices with a pay-now button, set up repeating invoices and automatic reminders, and see who has paid.
Bills and expenses
Capture bills and receipts with Hubdoc or Dext, schedule payments, and let staff claim expenses from their phones.
VAT and Making Tax Digital
Xero is recognised by HMRC for MTD for VAT, and supports MTD for Income Tax for sole traders and landlords.
Payroll
Run payroll with RTI submissions, payslips and pension auto-enrolment, depending on your plan.
Reports and dashboards
Profit and loss, balance sheet, cash flow and aged debtors, updated in real time and shareable with us.
Which Xero plan?
Xero changed its UK prices in September 2026, so check the current figures on Xero’s site. We help you choose the plan that fits how your business works.
- IgniteSole traders and new businesses with a few invoices and bills a month
- GrowSmall businesses that need unlimited invoices and bills
- ComprehensiveGrowing businesses with staff, multiple currencies or expense claims
- UltimateLarger small businesses wanting projects, analytics and more payroll
Getting onto Xero, or getting more from it
From spreadsheets
We set up your chart of accounts, connect your bank, and bring in opening balances so you start clean.
From QuickBooks or Sage
We move your contacts, balances and history across and check everything reconciles before you switch off the old system.
Already on Xero
We review how it has been set up, tidy bank rules and tracking, and take over from your current accountant.
Apps we connect to Xero
- Dext
- Hubdoc
- Stripe
- GoCardless
- Shopify
- Amazon via A2X
- Tide
- Starling
Run your own numbers first.
- VAT calculator
Add VAT to a net price, or strip it out of a gross figure.
- Salary vs dividend calculator
Find the most tax-efficient mix of salary and dividends from your company's profit.
Worth asking.
A Xero accountant sets up and maintains your Xero account, reconciles the bank, manages receipt capture, runs payroll and VAT through Xero, and uses its reporting to advise you. Certified advisors have completed Xero's training and work in the software daily, which is the difference between software that is installed and software that is working.
Yes. We convert the historic data or bring in opening balances at a clean cut-off date, usually a year end or VAT quarter end, reconcile everything to the bank and check the VAT position before going live. Most migrations are completed within a few weeks.
It can be. Some clients prefer to hold the subscription themselves; others have it included in the monthly fee at the partner rate. We set out which applies in your proposal.
Yes. You invite us as your advisor and we review the setup, tidy the chart of accounts and bank rules if needed, and carry on from there. You keep full ownership and access.
Yes, for both VAT and Income Tax. VAT returns are filed directly from Xero, and the quarterly updates required under Making Tax Digital for Income Tax are submitted from the same records.
Yes. Short, practical sessions by video or at our City Road office covering invoicing, bank reconciliation, expenses and reports. Most owners need an hour or two to be confident with the day-to-day.
The services involved
- Xero & QuickBooks Training, Setup & MigrationMoving to Xero or QuickBooks, set up properly, with training for you and your team.
- Bookkeeping & Cloud AccountingRegular support with records, reconciliation and keeping the books organised.
- VAT ReturnsReview and preparation of VAT returns, based on the agreed service and available records.
Guides for Xero
All articles
Cloud accounting
The World of Cloud-Based Accounting: A Guide for London Businesses
This guide explores everything London-based businesses need to know about cloud accounting, with an emphasis on finding the right Cloud-Based Accountant in Lo
Cloud accounting
Do I Still Need an Accountant if I Use Accounting Software like QuickBooks or Xero
What accounting software does well, where it falls short, and the jobs a UK accountant still does for you: tax planning, year-end accounts, HMRC and VAT.
VAT & Making Tax Digital
Understanding Making Tax Digital (MTD) for VAT and how it affects your UK-based business
Explore Making Tax Digital for VAT requirements and strategies crucial for maintaining tax compliance and avoiding penalties.