02 - Where the market is
What the profession's own numbers say
3,760UK registered audit firms in 2024, down from 5,007 in 2020
0.8x to 1.5xTypical sale multiple of gross recurring fees
73%Firms turning work away for lack of staff
780,000Taxpayers pulled into MTD for Income Tax from 6 April 2026
Registered audit firms are only one slice of the profession, but it is the slice counted consistently, and it has fallen by a quarter in four years while private equity backed consolidators buy up the mid tier. Fewer firms, each capacity constrained, with the buy side route to growth priced at roughly a year of the fees you are purchasing. Meanwhile MTD for Income Tax has put hundreds of thousands of sole traders and landlords through a forced change in how their records are kept, with the £30,000 threshold following in April 2027. That is an unusually large number of businesses re-examining an arrangement they had not thought about in years. Direct, selective approach to a defined list is cheaper than 1.2 times GRF and you choose the clients.
Sources: FRC, Key Facts and Trends in the Accountancy Profession 2025 (audit firm registrations, 2024 data). GRF multiple ranges as published by UK practice brokers Kingsman Partners and Bains Watts, 2025 and 2026. Advancetrack Accounting Talent Index 2026, reported by Accountancy Today, May 2026. HMRC, Making Tax Digital for Income Tax mandation estimates.