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The accountancy profession made a combined £98bn contribution to the UK and Irish economies in 2022, a new report published by Oxford Economics has revealed.
Commissioned by the Consultative Committee of Accountancy Bodies (CCAB), the report further found that the profession supported over 900,000 jobs (911,800) in the UK and Ireland, and generated £11.4bn in tax revenues in 2022.
The total GDP contribution of the profession in the UK and Ireland grew by 39% between 2017 and 2022.
Expenditure on accounting services by businesses in the UK reached almost £30bn in 2022, and €3.4bn in Ireland. In both markets, the report estimated that the IT sector was the largest purchaser of accounting services in that year.
The UK exported £4bn in accounting services in 2022, increasing its share of total UK service exports since 2016 by 0.3% percentage points, despite the changed trading landscape post-Brexit.
CCAB said the findings highlight the key role the profession has played supporting businesses over the past five years, helping them to navigate the impacts of the Covid-19 pandemic, Brexit and geo-political crises like the war in Ukraine, as well as the transition to a green economy and new technology.
Julia Penny, CCAB chair, said: “The significant contributions highlighted in this report underline the value of the accountancy profession to the prosperity of the UK and Ireland. Accountants are playing a key role in driving economic growth: helping millions of businesses to navigate global challenges and opportunities, as well as leading schemes to boost social mobility and access to the profession.
“It’s not surprising to see that contributions have grown during the past five years given the impact of the pandemic and cost of doing business crisis. Demand for our knowledge and skills remains strong, in part thanks to our expanding roles in dealing with a range of non-financial information.”
Penny added: “I expect accountants to retain a central role as the profession evolves to further help businesses adapt to the climate emergency and technological advances, issues on which our future economic success and stability depend.”
The report assesses both the economic and wider social impact of the profession to the UK and Ireland, with quantitative analysis supplemented by case studies which provide a snapshot of the positive contributions that accountants are making in the areas of diversity and inclusion; skills; and sustainability.
Dr Alan Belfield, a member and former co-chair of the UK Government’s Professional and Business Services Council (PBSC), said: “The Professional and Business Service professions are a large and vital pillar which supports the prosperity of the UK and Ireland, and accountancy is no exception.
“The sector provides crucial advice that enables businesses, both large and small, and in every region, to become more productive, profitable and competitive. I am not surprised to see its contribution to the UK and Irish economies has increased in recent years.”
