AI in Accountancy: Is the Sector Ready?

Last week, the Silverfin team hosted an AI roundtable with Dan Cockerton from the Digital Accountancy Show. Attendees included over 30 guests from some of the UK’s leading accountancy firms, such as Moore South, Haysmacintyre LLP, Cooper Parry, PM + M, and Kreston Reeves. The event featured speakers including Sven Cornelius from Finplex in Belgium, Rich Webb, the Founder of Performance Ninja, and Silverfin’s Director of Innovation, Ken Bastiaensen.

Following introductions, the discussion focused on the issues facing the UK accountancy sector and the role AI could and should play in addressing them. There was a universal recognition that technology should be embraced, but also an acknowledgment of the challenges in identifying, testing, and implementing new software amidst client deadlines and busy teams.

Despite concerns about risk and compliance, every firm present was testing ChatGPT or AI capabilities offered by Bing. Accountants expressed caution due to news stories about confidential corporate data being available to ChatGPT users and research indicating that 15% of employees regularly post company data into ChatGPT, with over a quarter of that data considered sensitive.

Main AI Talking Points and Insights

AI is expected to enhance rather than remove the need for accountants

Ken Bastiaensen noted that while AI has changed the skillset required in some professions, such as graphic design, those professions still exist. The consensus was that accountancy is already evolving due to cloud-based software, and AI will accelerate this change. Firms need an AI strategy, as these changes will affect everyone.

Don’t limit AI usage in accountancy to data analysis

Firms that embrace AI in a risk-managed way can use it to standardise processes from data analysis to client experience. Training AI with a firm’s tone of voice or corporate style can free up time and increase consistency.

AI will face resistance from Risk and Compliance departments

Most firms report that Risk and Compliance teams are the main barriers to introducing new technologies. While it will take time to implement AI with proper risk management, delaying too long could mean losing competitive advantage.

AI and cloud are here to stay

AI and cloud-based technologies are seen as essential for modernising the accountancy sector. The quality of AI depends on its data sources, which must be provided in volume, up-to-date, and easily accessible. A successful AI strategy is closely linked to a firm’s cloud-first approach. Sven Cornelius shared that his firm has been in the cloud since 2007 and has no regrets.

AI will change the prices clients want to pay

Many firms are moving away from time and materials pricing. Clients will expect AI to reduce their fees, so focusing on outputs linked to fixed pricing is seen as a better choice for maintaining profit margins or growth. Ken Bastiaensen summarised: “What used to take 30 to 40 minutes now takes two minutes, but not zero minutes,” highlighting the efficiency gains AI and cloud technology can offer.

Short term, the greatest impact of AI on jobs will be felt by juniors

AI can take over many manual checking and data tasks currently performed by junior staff. However, it is less clear how this freed-up time should be repurposed and what future issues this might create.

Everything still waits for deadlines, but AI could change that

Currently, accountants have utilisation targets and deadlines that take precedence over other priorities, including customer service. The sector has been slower than others to embrace technological advances, sometimes relying on legislation to resist digitalisation. This could make the AI adoption curve steeper but also more beneficial.

There was no resistance among attendees to using technology to create capacity and efficiency. However, understanding the rapidly expanding range of AI tools, then testing, selecting, and safely introducing them, is a daunting but clear priority for all.

If you’d like to talk about the ways Silverfin can make the post-bookkeeping part of your accounting and tax services AI-ready, or the capabilities our Silverfin Assistant offers today, please email cameron.ford@silverfin.com.