From Accounting to advisory: why the role of the accountant is changing

We look at how accountancy is increasingly moving towards advisory services, what this shift means in practice, and how both experienced professionals and students can prepare for success in a more consultative, insight-driven profession.

The role of the accountant is changing 

Accountancy is changing and there is a growing demand for advisory services from clients. Technology and automation are reducing the time accountants spend on routine tasks, freeing up time to help business owners who are seeking more proactive support.

Accountants already possess many of these skills including financial understanding, problem-solving, commercial awareness and trusted relationships.

“Business owners need help and support,” says Andy Smith, founder of Abbeygate accountancy in Bury St Edmonds and AAT Licensed Accountant of the Year 2024-2025. Historically, accountants have largely been asked and trained to report on historical numbers. With the advent of software, systems automation and AI, accountants can access information in real time. He says that requires a different set of skills, and a deep understanding of how businesses really work commercially.

“The natural next step is to use the data to look forward: challenging the business, challenging its strategy and helping the owner understand where it is heading and what action they can take,” he says. “Many new accountants are gaining direct commercial experience and have a better understanding of the pressures, risk and uncertainty business owners deal with every day,” Andy says. “That makes the advice more practical, more relevant and ultimately more valuable.”

As cloud accounting and automation is able to handle more transactional work, and is AI helping to streamline the compliance processes, business owners are looking for real-time insights rather than historical reporting.

Accountants can provide trusted business advice to clients in uncertain economic times. As well as providing a better service, this can ensure that an accountancy practice diversifies and is able to differentiate itself in an increasingly competitive market.

“Accountants have always been advisers, particularly when it comes to tax planning and helping businesses make informed financial decisions,” says Rachael Chadwick-Harrison, managing Director at Chadwick accountants. “What is changing is the expectation from clients.

As AI and automation take over more of the compliance work, accountants need to demonstrate the value they bring through face-to-face advice, strategic thinking and commercial insight. Clients can increasingly access data themselves, but they still need someone they trust to interpret it, challenge their thinking and help them make better decisions.”

Is advisory really something new?

Accountants have always advised clients informally, and budgeting, forecasting and business planning have long been part of finance roles. The difference today is that advisory has become a more defined and marketable service. In order for accountancy practices to remain competitive and profitable, that informal advice needs to be quantified and valued.

“Advisory work is where accountants can have the greatest impact, whether that is saving clients thousands of pounds in tax, improving profitability or helping them achieve their long-term goals,” says Rachael Chadwick-Harrison.

What does good advisory look like?

Rachel Harris of striveX points out that advisory is not reserved for the most senior or most technical people in a firm. She says one of the most valuable advisory work is not complex tax planning at all. It is proactivity, structure and making a client feel like a finance business partner and genuinely supported.

“A well-run pre-year-end meeting, a clear conversation about what a client should be thinking about with their money before the year closes, a consistent follow-up afterwards, all of that is advisory, and a technician who is organised, personable and curious can deliver it brilliantly,” she says. “You do not need to wait until you are chartered to add that kind of value. Learn to run a good client conversation.”

Good advisory is about creating a trusted relationship with a client to help them understand the importance of cashflow forecasting, business performance reviews, tax planning and bringing on board new technology.

“It involves forecasting, questioning the strategy, challenging the current path and helping to put things in place early for the business the client is trying to build,” says Andy Smith. “That could involve company structure, tax consultancy, software, processes, pricing or people. Students should learn as much as they can about AI and technology, but they should also make a real effort to understand business and develop their softer skills.”

Rachael Chadwick-Harrison says confidence in communicating doesn’t appear overnight, it develops through experience.

“Some of the best customer-facing skills can be learned in part-time jobs, whether that’s working as a cashier, a waiter or waitress, or in retail.”

How can finance professionals make a success of accounting advisory services?

As well as learning to communicate effectively and using technology and data tools effectively, our experts agree that developing commercial awareness will be an essential skill for the accountant of the future.

“Commercial skills will be hugely important,” says Andy Smith. “Business owners want challenge and a proper understanding of business. They want insights, ideas and benchmarks. They also want to be given knowledge about the things they do not yet know.

“You can never learn enough about business. Whether it is growth, pricing, sales, people, cashflow, strategy, systems or the challenges that come with all of them, you need to understand what is happening behind the numbers.”

Rachel Chadwick-Harrison says technical knowledge will always be essential, particularly around tax legislation and accounting standards, but communication skills are becoming just as important.

“The ability to build rapport, earn trust and explain complex financial matters in a way clients understand is what sets great advisers apart. Clients don’t just want accurate accounts, they want someone who can help them make decisions with confidence.”

What does this mean for students and those entering the profession and for AAT careers?

The good news is that advisory skills for accountants can create wider AAT career opportunities, and the accountancy profession is becoming more varied and dynamic.

In order to make the most of the new accountancy profession trends, it is important to really understand AI and how it is impacting the profession, as well as developing the communication and human skills that technology cannot replicated or replace.

“The opportunities are enormous,” says Rachael Chadwick-Harrison. “Accounting technicians are perfectly placed to become trusted advisers who work closely with clients, rather than simply preparing accounts and tax returns. Businesses increasingly want someone who understands their goals, can provide practical advice and becomes an extension of their team.

Those who combine strong technical knowledge with excellent communication and commercial awareness will be in high demand and have fantastic career opportunities.”

Peter Fry, FMAAT and AATQB, director of Emjay Associates, says it is important not to neglect the human element in the excitement over what AI can do for accounting.

“AI is going to be great for basic number crunching, but it’s not going to do away with the human person who can actually look at numbers and understand them,” he says. “Having come from an IT background, I know that IT is only as good as the programme. If the programme’s been written incorrectly, it’s not going to add any value to anything.”

There still needs to be human oversight and a deep understanding of what the figures mean and what the business is trying to achieve, he says.

“You still need that human to look at the numbers and say, “Well, numbers are looking all right. However, have you looked at this? Have you considered this? That’s where, as an accountant, we can start developing a lot more.” He says every business is unique, which is why personal communication is so important.

“No two businesses are really the same because it’s the people that make businesses grow. The type of accountants we’re going to be looking for at entry level is going to be a different. It’s going to be more like detective work, because you’ve got to be able to look at numbers and spot where there might be a mistake. That is where the skill set will need to change.”

Further reading

The seven AI skills accountants should master

AI versus the human touch: Accountants talk about client demands

Top tips from an accountant who swapped teaching for a career in finance

Marianne Curphey is an award-winning financial writer and columnist, and author of the book How Money Works. She worked as City Editor at The Guardian, deputy editor of Guardian online, and has worked for The Times, Telegraph and BBC.