And they face more change. The audit threshold is set to rise from £350,000 to £1m with a government pledge of a further hike to the European maximum of £4.8m next year. Government and business have grasped technological advances with both hands over the last year, meaning internet access, e-business knowledge and an up-to-date website is essential for smaller firms.
Faced with these developments, firms have shown increasing signs of a shift from traditional services like audit to consultancy and other business services. With the exception of tax advice firms have had to adapt and invent new services to keep pace.
Growth in income from tax is robust in most cases. Morison Stoneham saw a 29% growth rate, and Morgan Brown & Spofforth reported a rise in tax income of 17.2%, compared to last year’s hike of 11.5%.
As with the upper-tier firms, consultancy work among smaller firms is blooming.
Wilkins Kennedy’s consultancy services grew from £0.47m to £1.08m, a rise of 129.8%. Larking Gowen saw its consultancy grow from £0.4m to £0.6m, a change of 50.4%.
Just one half of UK practices have implemented a pricing structure around auto enrolment implementation and advice - with many suffering increased costs
Deloitte's north-west Europe foray; BDO, Smith & Williamson investment paths; Shelley Stock Hutter; and Wilkins Kennedy discussed by editor Kevin Reed on our Friday Afternoon Live broadcast
Accountants should alter their perspective on auto-enrolment to maximise business opportunities, according to Eric Clapton.
Kevin Reed discusses whether new accountancy group Cogital can rival the Big Four...and its likely direction of travel