Ravical has published research suggesting UK accounting firms could generate more than £463,000 in extra annual revenue from existing clients. The study focuses on small and medium-sized businesses in the UK.

The findings suggest many firms are missing sales opportunities not because clients are unwilling to spend more, but because accountants are not clearly explaining what else they can offer. Almost half of UK SMEs surveyed (47%) said they would pay up to 25% more for additional services from their current accountant.

The research puts average annual spending on accounting services across UK businesses at about £19,700. The largest concentration of clients sits in the £10,001 to £25,000 spending band, which the study identifies as the main area for incremental revenue growth.

That matters as parts of the accounting sector face weaker demand and staffing changes. Recent job cuts at Deloitte, KPMG and PwC have added to concerns about market conditions, even as firms look for ways to offset slower growth in some service lines.

Client demand

Ravical’s data points to a broad demand for a wider relationship with existing advisers. According to the company, 92% of businesses would be willing to pay more if their accounting firm offered the extra support they needed, while 94% would consider expanding the relationship with their current provider.

The issue appears to be communication and responsiveness rather than resistance to buying more. In figures published alongside the study, 38% of businesses said they would take up additional services from their accounting firm if it matched the speed and responsiveness of other providers.

That gap may be opening the door to alternatives. Seven in ten SMEs (70%) said they had acted on financial, tax, or business advice generated by an AI tool during the past year without first checking it with their accounting firm. A related version of the findings put the share at 71%.

The figures suggest businesses are not waiting for formal advice channels when they need answers quickly. Instead, some are using AI tools to fill gaps when they feel their accountant is too slow to respond or is not offering the guidance they want.

AI pressure

The study argues that automation is reshaping the balance of work in accountancy. As more compliance tasks become automated, firms may need to rely less on routine processing and more on advisory work to protect revenue and deepen client relationships.

For smaller businesses, that advisory work can extend beyond annual accounts or tax filings. The survey suggests clients increasingly want help with financial planning, tax questions, commercial decisions and broader business issues.

Joris Van Der Gucht, Co-founder and Chief Executive Officer of Ravical, said the market signals were stronger than some firms might assume.

“There’s a misconception that the market is shrinking. Our findings show 92% of businesses would be willing to pay more if their accounting firm offered the additional support they need,” said Van Der Gucht.

He said the opportunity for growth already exists within many firms’ current books of business.

“Accountants are sitting on a pool of opportunities to unlock commercial expansion, and those that strategically engage with existing clients will prevail,” Van Der Gucht said.

Growth route

The findings are likely to feed into a wider debate about how accounting firms should respond to AI and changing client expectations. For years, many practices have chased growth through client acquisition, but Ravical’s research suggests there may be more immediate gains in selling additional services to existing customers.

That route could also be less costly than winning new accounts in a competitive market. Existing clients already have an established level of trust, know the firm’s processes and may be more likely to buy adjacent services if they see clear value.

Still, the survey indicates that trust alone is not enough. If businesses are already acting on AI-generated financial or tax guidance without consulting their accountant, firms risk losing influence over decisions that once would have been more likely to come through a direct adviser relationship.

Van Der Gucht said AI should be seen as a tool that changes how firms work rather than as a simple substitute for accountants.

“Businesses aren’t necessarily looking to replace their accountant with AI, but they want more value from the one they already trust,” he said.

He added that the combination of existing client demand and workflow changes could alter how firms pursue growth.

“The fact that 94% of businesses would consider expanding their relationship shows the fastest route to growth is already on their books. With the support of AI, accounting firms can now streamline workflows and focus on delivering more tailored services to clients,” Van Der Gucht said.

Owner of High Street business TG Jones, Modella Capital, which bought out the High Street branches of long-standing brand WH Smith last year, has embarked on a huge restructuring which will see up to 150 shops close.

Modella blamed ‘challenging retail conditions’ on the changes and a hearing to approve the restructuring plans in the High Court at the end of June heard the business was ‘highly distressed’.

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Securing a rescue deal rather than going into administration, the wide-ranging restructuring includes some 120 landlords will not receive rent for up to three years, and rent will be cut on hundreds of other stores by between 15 and 75 per cent.

On top of planned store closures, the extreme measures may result in some landlords choosing to cut their losses and terminate the TG Jones lease.

Olly Glover (Image: Oxford Mail)

Olly Glover, Liberal Democrat MP for Didcot and Wantage, said if the TG Jones on Broadway in Didcot were to close, it would leave 37,000 residents of the town and others in nearby villages relying on just one Post Office branch, Georgetown.

It would also follow the controversial closure of East Hagbourne Post Office due to the resignation of the postmaster in February.

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Mr Glover said: “Not only would the post office face a significant increase in demand, but residents would also lose access to vital services such as passport applications, DVLA renewals and identity verification services, which are not available at this branch.

“I have written to Post Office Ltd outlining the impact these proposed changes would have on the community and the lack of nearby, accessible alternative services.”

Post Office has been approached for comment.

TechWorks has launched the Semiconductor to Systems Summit, a new executive event for the UK deep-tech sector that will bring together more than 500 industry figures.

The summit is intended as a meeting point for organisations across the semiconductor-to-systems chain, spanning materials, chip design, manufacturing, packaging, systems integration and cyber security. It will also draw investors, researchers, policy specialists and end users from UK industry and overseas markets including Japan, Canada and the Netherlands.

The launch comes as the industry body marks its 30th anniversary. The summit will be the central event in those celebrations and create a single forum for several communities that have until now operated separately.

For the first time, the networks behind NMI, DESN, AESIN and IoTSF will meet under one roof. That broadens the event beyond semiconductors to include electronic systems, automotive technology and cyber resilience, reflecting how companies increasingly work across connected parts of the supply chain rather than in isolation.

Industry focus

The programme is divided into four conference streams: Build, covering manufacturing and devices; Create, focused on systems and integration; Secure, centred on cyber resilience and quantum safety; and Scale, covering investment and commercialisation.

The structure is designed to link technical development with business and policy concerns. Topics include advanced materials, systems design, verification, AI threats, trust, investment, innovation and global trade.

The event will also feature an exhibition area with companies, research and technology organisations, international pavilions and a startup zone hosted by Silicon Catalyst UK. Delegates are expected from sectors including automotive, aerospace, defence, energy, industrial automation, AI and healthcare.

TechWorks is delivering the summit with the UK Semiconductor Centre. The collaboration brings together an established industry membership organisation and a body focused on strengthening the domestic semiconductor sector, at a time when governments and companies are paying closer attention to supply chains, industrial capacity and technology sovereignty.

Wider backdrop

The summit enters a market in which semiconductors have moved higher up the economic and political agenda. Demand for chips and advanced electronic systems is increasingly tied to industrial policy, defence planning and national competitiveness, while the spread of AI and connected devices has raised the sector’s strategic importance.

In the UK, that has sharpened interest in how design, manufacturing, packaging, software, systems engineering and security fit together. By framing the event around the route from semiconductor development to deployed systems, TechWorks is seeking to capture a broader share of that conversation than a conventional chip industry conference.

The summit will give companies a place to examine emerging technologies and form commercial links across the value chain. Its emphasis on international markets also suggests an effort to put UK businesses in front of overseas partners as competition for investment and technical collaboration grows.

Charles Sturman outlined the rationale for the new event.

“Over the past 30 years, the semiconductor and electronics industries have evolved beyond recognition. Today, innovation does not happen in isolation; it happens through collaboration across the value chain. That is why we have created the Semiconductor to Systems Summit. By bringing together our semiconductor, electronic systems, automotive, cyber security and emerging technology communities, we are creating a unique forum where industry leaders can share ideas, build partnerships and address the opportunities and challenges shaping the future of UK technology,” said Charles Sturman, Chief Executive Officer of TechWorks.

The planned attendance of more than 500 delegates would make it one of the larger UK gatherings focused on linking chip development with downstream systems and end markets. It also underlines the growing overlap between sectors once discussed separately, from semiconductors and embedded systems to vehicle electronics, cyber security and industrial AI.

Alongside the conference sessions, the startup presence points to an effort to bring younger companies into contact with larger manufacturers, customers and investors. That may be particularly relevant in areas such as advanced packaging, edge systems and security, where smaller firms often depend on partnerships to scale products and reach regulated industries.

For TechWorks, the summit also serves as a statement about its role in the sector. By convening multiple specialist communities in one event, the organisation is presenting itself as a connector across a fragmented technology landscape spanning hardware, software, security and commercialisation.