Switching & working together
How do I switch accountants?
By Pick My Accountant Editorial · Updated 8 July 2026
The steps in order
1) Pick the new firm and agree scope and fees in an engagement letter. 2) Notify your current accountant — a short email is fine. 3) The new firm writes for professional clearance and your records (accounts, tax computations, payroll data, VAT workings). 4) Sign new HMRC agent authorisations (form 64-8 or the digital handshake). 5) Confirm who files anything currently in flight so nothing falls between firms.
When to time the move
The clean break is right after your year-end accounts or tax return is filed — the old firm finishes what they started, the new firm begins a fresh period. Moving mid-engagement works but expect the new firm to charge for re-doing work in progress. Avoid switching in the fortnight before a deadline unless the relationship has genuinely broken down.
Common friction points
Unpaid invoices: an accountant can exercise a lien over their own working papers until paid, though core records must be returned. Software access: if the subscription is in the firm's name, ask for an export or transfer of your Xero/QuickBooks file before you leave. Ethical clearance is almost never refused — it exists to flag serious issues like fraud, not to trap clients.
People also ask
Will HMRC be told I've switched?
Yes — signing the new agent authorisation replaces the old one, and HMRC then corresponds with your new accountant. Nothing about your tax position changes.
Can my old accountant charge an exit fee?
Only if your engagement letter provides for it, which is rare. They can charge for genuine handover work beyond returning your records, but routine clearance responses are normally free.
What if my accountant has disappeared or been struck off?
A new firm can reconstruct your position from HMRC records and bank data. If the old accountant was a professional body member, you can also complain to that body.
This article is general information for UK businesses, not tax, legal, or financial advice, and thresholds change — confirm current rules on GOV.UK or with a qualified accountant before acting. Fee figures are indicative benchmarks from ourmethodology.