Digi-Tools In Accrual World

What Perplexity AI, Xero OS and GoCardless Redundancies mean for your practice right now

Indi is joined by Billie Mcloughlin and Kevin Fitzgerald for a busy episode covering AI's move into tax preparation, Xero's repositioning as an operating system, and a string of practical product updates across the accounting tech stack.

Indi opens with news of Advancetrack's upcoming GBX conference on 12th May at the National Gallery, where the 2026 Accounting Talent Index launches. Early data suggests 70% of firms say workloads are increasing pressure on senior staff, cutting against the narrative that AI is the profession's most urgent problem right now. Kevin adds context with Employment Hero's March Jobs Report, drawn from roughly 120,000 UK employees. Headline employment growth is positive at just over 5.3% month on month, but wage growth at 8.8% remains high and SME hiring confidence is wobbling again as April's employer legislation updates and the Fair Work Agency's growing focus create fresh uncertainty.

Billie recalls a live demo she recorded: Perplexity's new Computer tool filling out a US tax return end to end, pulling documents, error-checking and asking clarifying questions. It doesn't file, but it does everything up to that point. US-only for now, but a clear direction of travel. Kevin links it to a bolder claim from Tom Blomfield, ex-CEO of Monzo, who argued income tax collection could be restructured within five years, cutting out advisers and individual returns. The hosts are sceptical, but take the underlying question about accountant value seriously.

Mayday gets a positive segment covering a strong Q1: centralised control of contacts, chart of accounts and tracking categories across multiple Xero entities, plus the acquisition of Easy Month End. Indi raises the question of whether a Xero acquisition is on the cards.

Xero OS generates the most debate. Billie breaks down Jax shifting from assistant framing to something closer to an AI CFO. Indi's reading is more structural: the move from ecosystem to operating system signals Xero closing the dome around its data, compressing the opportunity for apps sitting on top of it.

Kevin covers Oracle's Fusion Finance agentic applications, where agents chase payments and manage collections without waiting for human input, and notes AI is collapsing roadmap timelines from twelve months to weeks.

Also covered: Dext Payments moving into payroll payments; Briefcase One adding live bank feeds with automated categorisation and ledger posting; FreeAgent's MTD bulk workflow release; and GoCardless cutting 90 jobs while targeting EBITDA positive in 2026.

FreeAgent is the proud sponsor of this episode. FreeAgent is an HMRC-recognised MTD solution for sole traders, landlords and CIS clients. Find out more at freeagent.com.

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00:00 Introduction to the Digital Disruptors Podcast

04:25 The state of accounting employment and talent

08:51 Perplexity AI going after accounting?

11:29 Income tax redundant in 5 years?

17:22 Huge Q1 for Mayday

22:10 Xero's new AI operating system

30:00 Oracle announces Fusion Finance

31:23 Dext Payments: automation in payroll and accounting

34:46 Briefcase One now has bank feeds

38:10 MTD-focused releases from FreeAgent

41:24 GoCardless axes 90 jobs

49:09 Close

Who's Liable When AI Gets the Numbers Wrong?

Ryan Pearcy, Heather Smith and Leigh Stallard return for Season 3 of Digi-Tools in Accrual World, covering the biggest stories in accounting tech this week.

Xero has launched a new accounts production workflow in partnership with BGL, bringing year-end workpapers directly into the platform. Heather reports from Australia, where the feature has been live for some time, and flags a data access issue that UK firms need to know about before they rely on it.

Xero has also announced a multi-year partnership with Anthropic, the company behind Claude. The announcement has generated significant discussion in the profession, not least because Xero previously stated that JAX would not provide financial advice. The new partnership appears to suggest otherwise. Ryan, Heather and Leigh examine what that means for accountants, who carries the liability, and whether AI becoming the default interface puts the underlying ledger at risk of becoming irrelevant.

US accounting platform Aiwyn has embedded its tax product inside Claude, allowing users to generate a 1040 tax return through the AI interface via an MCP-style connection. The hosts debate whether building core workflows on top of an LLM is a sound strategy right now, and whether the product will still be differentiated in two years once the base models catch up.

NetSuite used its Suite Connect London event to shift the conversation from co-pilot to autopilot, outlining plans for autonomous period close through its NetSuite Next platform. Leigh invokes Jurassic Park. Ryan pushes back with a transactions-first argument. Neither of them is entirely wrong.

Also covered: TaxNav launches Navi, a green furry MTD mascot of questionable necessity; TaxCalc Engager announces a collaboration with Virtual Cabinet and Workiro to embed document management into tax and accounts workflows; and Xero's credit note bank rec update gets more credit than the headlines suggest.

 

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Chapters

00:00 Intro

02:22 Xero Accounts Production

06:09 Xero Credit Note Bank Rec

09:47 Xero and Anthropic

18:33 Aiwyn Tax inside Claude

23:31 NetSuite Autopilot

30:39 Navi launched to simplify MTD conversations

34:33 TaxCalc integrates with Workiro and Virtual Cabinet

35:58 Functional Updates from Xero

AI's Ticking "Double Subsidy" Timebomb

In this episode of Digi-Tools in Accrual World, Indi Tatla and John Toon welcome a brand new regular co-host to the show, Alastair Barlow. The team covers a wide range of #accounting tech news and #fintech news, starting with the latest update from Dext and their new Time Spent module. They discuss the value of heat maps for process optimisation and whether these data points provide enough context for firm owners to make meaningful changes.

The conversation moves into the world of AI reporting with a look at Bots For That and their conversational approach to client insights. The hosts debate the risks of relying on AI summaries that may lack the broader context of operational data and off-balance sheet information. You will also hear a breakdown of Zoho’s latest launches, including corporation tax filing, micro-entity accounts production, and their freemium model for MTD for income tax.

Finally, the group explores the concept of the fully AI run accounting firm, discussing a recent experiment involving 11 AI agents. Alastair provides a unique look at the "double subsidy" of technology and the potential future reckoning regarding the true cost of AI token usage in the profession.

 

00:00 Introduction of New Co-Host

03:54 Dext time spent insight

05:58 Client insight launched by Bots For That

13:51 Briefcase Ledger

19:12 Zoho Accounts & Tax + Premium Model

23:11 The fully AI accounting practice

32:55 Journey's April Fool's Prank

34:57 Close

 

FreeAgent Automates CIS, and AI-Reporting Hits the Mainstream

Is your accounting tech stack becoming "Accountable" or just more confusing? 

From AI agents that hunt through your inbox to the battle over mid-market marketing, the latest episode of the #DigiToolsinAccrualWorld podcast is packed with the insights you need to navigate the noise.

Here's what we’re breaking down this next week:

The Main Stories

FreeAgent’s Bank-Led CIS: We explore how FreeAgent is tackling the MTD for Income Tax headache by allowing CIS transactions directly from bank coding. 

As Lara Manton C.MICB puts it, most subcontractors don’t care about complex domestic reverse charges - they just care about the money in. This could be a massive win for reducing the admin burden.

Fathom’s New AI Commentary: 🎙️ Ryan Pearcy looks at Fathom’s new tool that moves beyond "boring jargon". Instead of just restating the obvious, it uses "context engineering" to explain the why behind the numbers.

Firmcheck’s AML Evolution: Ian Gregory highlights how Firmcheck is shifting the conversation from simple "onboarding" to "ongoing compliance". In an era of "Companies House blunders," having a single AML control centre is becoming defensible and critical.

The Bits You Can't Miss:

🤖 "I’ve now got AI reading my emails, but I certainly wouldn’t let it send any without my permission." - Ian Gregory on the security of Apron’s new AI agent, William.

😬 "If you're not going to be fair to others in this space... you're not going to damage them. You're going to damage yourself." - Ryan Pearcy on the recent "angst" between iplicit and Sage over marketing comparison tables.

🧐 "Is it SaaS or is it 'Software as an Intelligent Service'?" - The team debates Xero’s new "Accountable Intelligence" branding and whether we really need another acronym for AI.

 

QuickBooks MTD Rug-pull and Sage/Barclays Partnership

Stay informed with the latest accounting tech news and fintech news in this episode of Digi-Tools in Accrual World - this episode sponsored by Advancetrack.

Indi Tatla and John Toon are joined by Robbie from Forvis Mazars to discuss the rapid shift in the UK software landscape as MTD for ITSA approaches.

The team breaks down the recent QuickBooks update for sole traders and the strategic move by Sage and Barclays to provide an integrated banking and accounting experience. We also look at the rise of AI assistants within banking apps like Starling and how Dext is using AI to codify firm-level judgment for better automation.

A major highlight of this episode is the news from Briefcase regarding their AI-native MTD platform, Briefcase One, which aims to handle complex areas like fixed assets and depreciation. We also discuss Revolut finally securing its UK banking license and what their expansion means for the SME market. Finally, we look at recent data regarding AI adoption in accounting firms and whether security concerns are still acting as a blocker for core workflows.

Chapters

00:00 Introduction to Digi-Tools in Accrual World
03:02 QuickBooks and the New Sole Trader Experience
05:46 Barclays and Sage announce strategic partnership
07:09 Starling launches integrated accounting and MTD tool
09:42 Dext launches AI Assist tool to enhance supplier rule automation
13:27 Briefcase's Disruptive Innovations in Pre-Accounting
21:25 Revolut's Banking License and Market Expansion
26:15 Digits expands payroll connectivity
27:14 AI in Accounting: Current State and Future Prospects
31:11 Outro

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Episode Sponsor

This episode is sponsored by Advancetrack.

Advancetrack provides modern accounting and tax outsourcing solutions, helping practices access top-tier talent and robust security measures to scale their business and focus on client relationships.

Visit their website: https://www.advancetrack.com/

Is your Frankenstack killing your productivity? The Future of Embedded AI

In this episode of Digi-Tools in Accrual World, Ryan Pearcy is joined by Eriona Bajrakurtaj and Kevin Fitzgerald to break down the most significant developments in accounting tech news and fintech news. The team explores how major platforms are moving beyond simple automation to embed artificial intelligence directly into the core of the accounting workflow.

The conversation covers the recent Intuit Get Connected event, where the global platform announced a massive shift toward AI-driven compliance. We examine what the partnership with Anthropic means for the rollout of custom AI agents and how the new business tax beta aims to proactively identify tax savings. The panel also reviews the latest product roadmap from FreeAgent and how they are positioning themselves to compete with larger players through rapid development and MTD readiness.

Beyond the software updates, we look at the broader economic landscape affecting the profession. Drawing on the latest data from Xero and Employment Hero, we discuss the 8.8 per cent rise in SME wages, persistent late payment challenges, and why the era of the Frankenstack—disjointed software collections—is rapidly coming to an end in favour of unified systems.

We also highlight new innovations in compliance and portfolio management, including the MTD Command Centre from Bots for That, the integration between FYI and AMLCC, and Starling Bank's expansion into integrated tax software.

Timestamps

• 00:00 Intro and Welcome

• 02:40 Employment Hero

• 03:21 Intuit scales up AI capabilities as MTD deadline approaches

• 07:38 Intuit partners with Anthropic to bring custom AI agents

• 11:33 Intuit launches business tax AI beta to simplify filings

• 14:06 FreeAgent product spotlight 2026

• 18:37 Latest Xero data reveals small businesses are still facing persistent late payment challenges

• 21:18 Latest Xero data reveals small businesses are still facing persistent late payment challenges

• 23:33 UK SME wages rise by 8.8 per cent sparking concerns over potential price increases

• 27:28 Innovations in Fintech and Compliance Tools

• 27:37 Bots for That unveils a new MTD control centre for centralised client portfolio management

• 29:51 FYI and AMLCC integrate to automate anti-money laundering compliance for accountancy firms

• 31:09 Starling Bank expands business features with integrated HMRC-recognised software for digital tax

• 33:08 Xenon Connect releases a process tool to replace manual checklists for compliance reviews

• 35:19 Outro

Episode Sponsor

This episode is sponsored by Employment Hero. Visit their website: https://employmenthero.co.uk

Will Accountants Really Be Replaced in Two Years? We Put the Claim to the Test

This week on Digi-Tools in Accrual World, Indi Tatla and John Toon are joined by new co-host Billie Mcloughlin for a packed episode of accounting tech news and fintech news covering some of the biggest raises, most practical product updates, and one very contentious claim from Microsoft's AI chief.

The show kicks off with Allica Bank's $155 million Series D raise, which pushes the UK-focused business bank to a $1.2 billion valuation and into unicorn territory. The hosts unpack what the funding means for expansion into Northern Europe and whether an IPO or acquisition is the more likely exit.

From there, the team covers Stacks, which has raised $23 million to push further into financial close automation and has launched an AI Flux Analysis tool to identify transaction variances, before moving on to Basis, an AI agent platform that has hit a $1.15 billion valuation after raising $100 million to build long-horizon agentic workflows across tax, audit and advisory functions inside accounting firms.

On the more practical side, John runs through a substantial update from Active Workpapers, including the launch of Group Overview for managing portfolios of connected clients and a new integration with FreeAgent. Billie covers Xama AML's new client portal, which simplifies ID verification and multi-director onboarding, reducing the back-and-forth that has long made AML compliance a drag on practice time.

John also looks at Briefcase's new accruals automation tool, which detects recurring expenses and suggests journal postings at month-end before automatically reversing them when the invoice arrives. The hosts discuss how Briefcase's iterative, practice-led approach to development has helped them release features that genuinely land.

The episode also touches on the Crezco and iplicit partnership, which brings embedded payment functionality into iplicit's mid-market platform under the name iplicit Pay, and on Dytto, a new AI startup promising to free accountants from manual tasks, which receives a sceptical reception from all three hosts.

The episode closes with a proper debate on the Microsoft AI chief Mustafa Suleyman's claim that accountants could be fully automated within two years. Billie, John and Indi push back on the timeline, drawing on adoption curves from cloud accounting and e-commerce, and make the case that professional judgment, regulatory accountability and client trust will slow the transition considerably.

This episode is brought to you by Xledger, the mid-market accounting platform.

Find out more at: https://www.xledger.com

Sage 50 Cloud Rumours and ERP AI Updates

In this episode of Digi-Tools in Accrual World, John Toon, Ryan Pearcy, and Leigh Stallard navigate a wave of major enterprise resource planning (ERP) updates and fintech news. The team examines Intuit's shifting focus toward the enterprise market with its new Construction Edition and discusses whether this will successfully migrate long-term desktop users to the cloud.

The conversation covers significant AI advancements from industry giants. Sage Intacct has introduced new AI agents designed to streamline financial close and enhance cash intelligence, while NetSuite recently announced a suite of AI tools at its New York conference. The hosts also discuss the implications of Sage Intacct opening up data access via Snowflake, offering firms more flexibility for advanced reporting and business intelligence.

Additionally, the episode highlights a substantial $22 million funding round for audit and bank confirmation platform Circit, the launch of Ask Vinyl for automated meeting insights, and Fishbowl’s entry into the UK market with AI-driven manufacturing tools. The show concludes with a look at Zoho’s unified ERP strategy and a significant, though unconfirmed, rumour regarding the future of Sage 50 Professional in the cloud.

This episode is essential listening for digitally savvy accountants wanting to stay informed on the latest accounting tech news and fintech news.

Episode Sponsor: iplicit

Take your finances into the future and run your business or not-for-profit more effectively with iplicit, the mid-tier ERP solution. Website: https://www.iplicit.com

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Timestamps

• 00:00 Intro

• 02:35 Intuit Enterprise Suite

• 06:14 Sage Intacct AI Agents and Data Cloud

• 11:15 Circit $22m Investment

• 15:35 Vinyl's New AI Capabilities

• 20:02 Briefcase: General Availability

• 21:18 Hammock: Joint Property Owners

• 22:54 Fishbowl: AI Manufacturing

• 27:19 Zoho ERP

• 31:13 NetSuite AI Updates

• 33:55 Rumour Mill: Sage 50 Cloud

• 36:32 Outro

Is AI Really Killing the SaaS Business Model?

In this episode of Digi-Tools in Accrual World - sponsored by FreeAgent - Indi Tatla and Ryan Pearcy are joined by new co-host Heather Smith to discuss the latest developments in accounting tech news and fintech news. The team breaks down a massive wave of updates from Xero, including the long-awaited integration of AI-powered data extraction directly into the core platform, which aims to eliminate manual entry for receipts and invoices.

The conversation also covers significant shifts in the wider market, exploring the so-called "SaaS Apocalypse" and how generative AI is forcing a re-evaluation of traditional software subscription models. From strategic acquisitions like Mayday taking over Easy Month End to the latest consolidation in the UK payroll market with MoorePay acquiring Buddy, this episode provides a comprehensive look at the tools and trends shaping the future for digitally savvy accountants.

00:00 - Introduction and welcome to new co-host Heather Smith
04:08 - Xero integrates AI-powered data capture into core accounting platform
05:50 - A new side-panel Quick View feature simplifies the bill management process in Xero
08:58 - Xero updates global inbox storage to improve document organisation and file management
13:58 - Xero launches new tools to help small businesses manage cash flow and tax
20:00 - Xero integrates Melio for streamlined online bill payments for US small businesses
23:43 - Mayday acquires Easy Month End to streamline the financial close process
28:41 - Digital payroll platform Buddy has been acquired by MoorePay to bolster payroll technology
32:00 - New WorkflowMax Q1 updates focus on saving time for project administration tasks
33:48 - The SaaS apocalypse: Why AI is disrupting traditional software stocks
42:35 - Closing remarks and Digital Disruptor Awards 2026 announcement

 

Episode Sponsor: This episode is sponsored by FreeAgent. https://www.freeagent.com

Special Episode: Event Preview - Alternative Events

Are you heading to the Alternative Accountancy event in the next few days? In this quick-fire preview, we’ve gathered some of the best tips to help you navigate the schedule and have a great couple of days.

Join John, Leigh, and Ryan as they discuss why this event has become a staple for the UK's top 200–300 firms.

In this episode, we cover:

• The Strategic Edge: Why the "Chatham House Rules" environment makes this different from your average trade show.

• Navigating the Content: From the Samoan Circle to the X-Factor format, what you shouldn't miss.

• Peer-to-Peer Insights: How to use the breakout sessions to solve your firm's specific AI and talent challenges.

• Practical Tips: Why you should stay late on Tuesday, how to vet vendor onboarding, and even where to find the best golf and morning running groups.

Timestamps:

• 0:00 – Introduction to the Alternative Accountancy event

• 1:15 – Why it’s the most strategic event of the year

• 2:45 – Tips for Managing Partners and Digital Leads

• 4:10 – The importance of the Tuesday evening social

• 5:30 – Wednesday morning run and recovery

• 7:00 – Getting the most out of vendor partnerships

• 8:45 – Final tips: Breakout rooms and AI insights