FreeAgent is UK cloud accounting software with invoicing, expenses, payroll, and Making Tax Digital submissions for sole traders, freelancers, and limited…
FreeAgent is a cloud accounting platform built specifically for the UK market, targeting sole traders, freelancers, contractors, partnerships, limited companies, and landlords, alongside the accountants and bookkeepers who manage their books. The software was founded in 2007 in Edinburgh and has grown into one of the more widely used small business accounting tools in the UK, with over 150,000 customers.
In 2018, FreeAgent was acquired by the Royal Bank of Scotland Group (now NatWest Group) for £53 million. Rather than being folded into a larger banking product, FreeAgent has continued to operate as an independent brand from its original Edinburgh headquarters, and it remains available as a standalone subscription product to any UK business, whether or not they bank with NatWest.
FreeAgent centers on the day-to-day admin that UK small businesses have to handle: invoicing clients, tracking expenses, reconciling bank transactions, and staying compliant with HMRC deadlines. Invoices can be sent with automated payment reminders and one-click online payment, while bank feeds pulled in via Open Banking keep transaction records current without manual entry.
Beyond bookkeeping basics, FreeAgent includes payroll with Real Time Information (RTI) submission to HMRC, a 90-day cashflow forecasting tool with scenario planning, project time tracking, and AI-assisted Smart Capture for turning photographed receipts and bills into logged expenses. The platform also submits VAT returns and Self Assessment tax returns directly to HMRC as part of its Making Tax Digital (MTD) compliance tooling.
FreeAgent prices its subscription by business type rather than by feature tier. Sole traders, partnerships/LLPs, limited companies, and landlords each have their own monthly or annual rate, and new customers typically get a 50% introductory discount for the first period before the standard price applies.
Separately, FreeAgent is included at no extra cost for business current account holders of NatWest, Royal Bank of Scotland, Ulster Bank, and the digital bank Mettle, which is how a large share of its user base accesses the software. Optional add-ons, such as unlimited receipt captures or Amazon transaction imports, cost a few pounds more per month.
FreeAgent is free for business current account holders of NatWest, Royal Bank of Scotland, Ulster Bank, and Mettle. Everyone else pays a monthly or annual subscription based on business type.
FreeAgent has been owned by the Royal Bank of Scotland Group, now NatWest Group, since 2018, but it continues to run as an independent, standalone product available to any UK business.
Yes, FreeAgent is HMRC-recognized for Making Tax Digital and submits VAT returns and Self Assessment returns directly to HMRC.
Yes, FreeAgent includes payroll functionality with Real Time Information (RTI) submissions to HMRC on payday.
FreeAgent is built around UK tax and compliance requirements, including HMRC filings, so it is designed for UK-based businesses.