We often hear about digital transformation in accounting, and many firms across the UK are making technology a core part of their strategic plans.
Industry reports show that most accountants see technology as a way to gain a competitive edge, with 62% of firms reporting that modern software enables them to focus more on their core business rather than administrative tasks.
But what does this actually mean for client relationships? In addition to increasing internal efficiencies, digital accounting solutions are creating better ways for firms to engage with clients, by offering new levels of transparency, faster data sharing and greater responsiveness.
Enhancing connectivity between firms and clients
Clients today expect a more digital experience, valuing convenience, speed and transparency. They seek the ability to connect with their accounting firms more easily, receive timely insights and access information on their own terms. This helps them to feel more supported and informed.
“If you can’t provide your clients with the relevant information and analysis they need to conduct their business operations, they’ll simply go elsewhere.” Brian Murphy, Partner at Deloitte
Digital transformation in accounting enables firms to share the right data, insights and advice when clients need them most. With cloud-based accounting software integration, firms can bring all their tools together and be more agile and proactive in meeting their clients’ evolving needs.
Centralising data ensures consistent, real-time access
One of the key objectives of digital transformation in accounting is having quick, seamless access to client data. A 2024 PwC study on digitalisation in finance and accounting found that 92% of organisations are focusing their digital transformation efforts on enhancing their data management systems.
Cloud technology enables firms to pull together information from various sources into a single, unified system. This seamless approach to accounting software integration makes it easy to combine data from bookkeeping systems, financial platforms and spreadsheets, ensuring it is all stored and accessible in one secure location. This, in turn, creates a single source of truth that eliminates the challenges of fragmented information.
Key benefits of this approach:
- Reduces the likelihood of errors
- Avoids common version control issues
- Enhances data consistency across processes
- Facilitates seamless team collaboration, regardless of location
- Enables timely, reliable client service
- Supports real-time financial reporting
Connected data makes accounting automation possible
Reconciliations, reporting and compliance work rely on having accurate, up-to-date data ready to use. With digital accounting solutions that offer a strong, connected data foundation, firms can unlock the full potential of automation, focusing more time on strategic, high-value work and less on manual data handling.
Automation doesn’t mean a completely hands-off approach. It enhances the work accountants do, allowing them to be more efficient and use their time more strategically. If you look at the process of preparing and reviewing Working Papers, for example, firms can switch from traditional spreadsheet based approaches to using connected and automated workflow templates that everyone can follow, improving both accuracy and productivity. With these templates, client data can be automatically populated, reducing manual entry and potential errors.
Consistent client service
Standardising on a best-practice approach also means that everyone across the firm, no matter where they’re located, is working in the same way. This consistency improves collaboration, as team members can share resources and communicate directly within the same platform, avoiding the need for back-and-forth emails and streamlining the review process.
This consistency also benefits clients, as it leads to more accurate, reliable service, ensuring that their needs are met with the same high standards at every interaction.
The future of digital transformation in accounting: AI and beyond
As firms continue their digital journey, AI is set to play an increasingly central role in the accounting industry. An industry report by Sage, Demos and ACCA found that firms leading the way in AI see it as a catalyst for growth and are planning to expand their teams. These firms anticipate a 29% increase in employee numbers over the next three years. This is 10 times higher than those not currently using AI technologies.
For those already incorporating AI into their digital accounting solutions, the impact on client service is clear. From intelligent chatbots that handle basic client queries to AI-driven insights that inform decision-making and enable real-time financial reporting, AI is improving the client experience by enabling accountants to deliver faster, more informed responses.
More than three-quarters (76%) of firms report that AI has had a valuable impact on their practice, supporting better service delivery and the quality of their work.
Conclusion
Powered by tools such as cloud technology, automation and AI, digital transformation is helping accounting firms across the UK strengthen client relationships in ways that were previously out of reach.
Automation takes routine tasks off the plate, AI delivers a new level of insights, and cloud technology ensures that client data and files are accessible anytime, from anywhere. Together, these tools make it possible for firms to stay responsive and connected, delivering a seamless experience for clients that values their time and needs.As these digital accounting solutions continue to advance, firms that embrace automation and the cloud will be well-positioned to meet clients’ expectations, building lasting relationships based on reliability, accessibility, and consistently high standards.
