Harnessing opportunities to future-proof your firm

Mercia recently spent two productive and enjoyable days at Accountex 2025, meeting like-minded professionals and enhancing our business network. Before the event, we reached out to a handful of Accountex speakers with one question: what are the top five opportunities and/or challenges accountants should be prepared for in the next five to ten years? In this blog, we highlight some of the key trends that accountancy firms must prepare for.

Making best use of Artificial Intelligence (AI) and automation

AI is already taking ahold in the UK, across a wide range of industries and areas of life. It has proved to be useful in a multitude of ways and in many different scenarios, including in the automation of tasks, the analysis of data and in predicting trends. It assists with productivity, creativity and in reducing costs.

Antonia Dixey, CEO of Participation People, says:

‘Tools like ChatGPT and AI auditors are evolving fast. There’s a growing need for digital fluency training, particularly across internal teams.’

Shane Lukas, Keynote Speaker, Author and Trainer at AVN, says:

‘The challenge is avoiding being overwhelmed by constant change while also not being left behind as a “dinosaur”.’

Nic Lonsdale, founder of Ginger Bucks Ltd, comments:

‘AI isn’t coming, it’s already unpacked its bags. The accountants who learn how to collab with tech (not compete with it) will free up time to focus on what matters: connection, strategy and next-level service.’

Julia Penny, Technical Adviser to IFAC Board Member and Past President of the Institute of Chartered Accountants in England and Wales (ICAEW), states:

‘Use technology to drive efficiency and quality (especially AI). Make the most of being human though.’

Francesca McClory, Managing Director at Future Cloud Accounting Limited and Director and Trustee of the Association of Accounting Technicians (AAT), says:

‘Automation and AI is only going to get bigger and faster. Routine tasks will be more automated – so bank recs and invoice matching can be done for you. We will have to get ahead with technology.’

Kate Hayward, UK Managing Director at Xero, comments:

‘AI won’t replace accountants. But we'll need to translate its outputs into clear, actionable recommendations for clients.’

Whilst there have been concerns that AI will affect job security, these have been quelled by its proficiency in automating everyday tasks and supplying analytical data. Accountants should seek to make best use of AI and its advantages to maximise efficiency and stay ahead. Used effectively, AI can aid in providing a plethora of insights, enabling accountants to supply their clients with the best possible advice.

In the future, AI could even assist accountants with more complex tax planning and in developing effective tax strategies for clients.

Sustainability in accounting

Environmental, Social and Governance (ESG) is a framework that measures and scores a business’s impact on social, environmental and governance issues. By abiding by the ESG framework, companies can ensure they are operating in a socially responsible and transparent way.

Governance under ESG evaluates corporate leadership, ethical practices, transparency and internal controls. Over the next few years, sustainability reporting is set to increasingly affect accountancy firms and their clients.

Businesses working with EU reporting requirements do so as part of the Corporate Sustainability Reporting Directive (CSRD). The CSRD requires UK firms operating in the EU report their risks and opportunities on social and economic subjects and report the impacts they have on the environment. These form an identifiable Sustainability Statement, alongside financial statements.

Antonia Dixey comments:

‘Accountants will be crucial in ESG reporting, sustainability audits and green financing. The demand for ethical, transparent financial practices is skyrocketing.’

Meanwhile, Gareth John, Policy Director at First Institution, says:

‘Sustainability in accounting will be the next big wave of change to hit the sector; from the impact of non-financial reporting, disclosure and assurance on annual reports to commercial opportunities to develop new advisory service lines.’

Dan Firmager, ESG Adviser at Kreston Reeves, states:

‘Adapting the profession to be ready for sustainability reporting and enabling the business community to create a better planet.

‘This is a huge opportunity for the profession to use its skillset and diversify the purpose it is being used for.’

Attracting a new generation of accountants

Firms seeking to attract young talent need to stay ahead when it comes to changes in the workplace. Long hours, a lack of flexible working options and limited options for career progression often combine to put Gen Z off the industry.

A report published by Deloitte revealed that young workers will comprise 75% of the global workforce by 2025. In its report, Deloitte stated that young people wish to work for businesses that ‘foster innovative thinking, develop their skills and make a positive contribution to society’.

Antonia Dixey says:

‘Gen Z expects clarity, flexibility, feedback, and purpose. The profession needs to evolve from “earn your stripes” to “grow together”. They want work that aligns with their values. Invest in psychological safety, inclusive progression, and visible impact if you want loyalty.’

Gareth John comments:

‘Existing accountants must take the initiative and act as relatable role models inspiring students at schools, colleges and universities that their passions and talents will have maximum impact in the accountancy sector’

Utilising remote and accessible working

The Covid-19 pandemic brought about an increase in the popularity of remote and accessible working. Data from the Office for National Statistics (ONS) showed that, in 2019, prior to the beginning of the pandemic, just 4.7% of employees in the UK worked from home. By April 2020, 46.6% of workers carried out at least part of their job from home.

Firms across the UK are increasingly finding that employees value remote and hybrid working for the work-life balance it provides. Flexible working appeals to employers, too – remote working opens opportunities for firms to access talent globally, allowing a business to grow without the restriction of geographical barriers or borders.

Nic Lonsdale says:

‘With remote work now the norm, we’ll need to be fluent in borderless business - different currencies, time zones, and tax regs included.’

Ashley Leeds, LinkedIn Coach and Podcast Host at Full Cup Coaching, comments:

‘Remote work since Covid, the genie has been let out of the bottle, which means that flexible working is here to stay.’

Francesca McClory states:

‘The challenges here will be making sure the collaborations will still work remotely. Accountants can then expand their team/client base globally and offer virtual services efficiently using cloud technology.’

Whatever the future has in store, Mercia will be on hand to keep your clients up to date.