Four accounting apps that can send your Making Tax Digital updates, compared on price for a one-person business, free options, and what catches people out.
Best low-cost option
SageBest for mileage and receipts on the go
QuickBooksBest if your accountant already uses it
XeroBest if you bank with NatWest, RBS or Mettle
FreeAgent| Product | Sage No deal | QuickBooks No deal | Xero No deal | FreeAgent No deal |
|---|---|---|---|---|
| Best for | Sole traders with a simple set of income and costs. | Sole traders who want the phone app to log mileage and snap receipts. | Sole traders whose accountant works in Xero and wants access. | Sole traders with a NatWest, RBS, Ulster Bank or Mettle business account, who get it free. |
| Starts at | £7a month plus VAT (Sole Trader) | £10a month plus VAT (Sole Trader Plus) | £16a month plus VAT (Ignite) | £0with a NatWest, RBS, Ulster Bank or Mettle account |
| Other plans | Free tier with 25 transactions a month | Larger plans for VAT and payroll | Larger plans for bigger businesses | £19 a month plus VAT otherwise |
| Priced by | Monthly plan | Monthly plan | Monthly plan | Free with some banks, monthly otherwise |
| Free option | Free tier, or three months free | Introductory discount for six months | Introductory discount for six months | Free with those banks |
| Main downside | The free tier runs out fast: 25 transactions a month. | The headline offer ends after six months. | Dearer than the others for a one-person business. | Without one of those banks it's the dearest here. |
| Do we earn? | No | No | No | No |
| Try it | Visit Sage Plain link. We have no deal with Sage and earn nothing. | Visit QuickBooks Plain link. We have no deal with QuickBooks and earn nothing. | Visit Xero Plain link. We have no deal with Xero and earn nothing. | Visit FreeAgent Plain link. We have no deal with FreeAgent and earn nothing. |
Best low-cost option. Sole traders with a simple set of income and costs.
£7 a month plus VAT (Sole Trader)
Plain link. We have no deal with Sage and earn nothing.
Best for mileage and receipts on the go. Sole traders who want the phone app to log mileage and snap receipts.
£10 a month plus VAT (Sole Trader Plus)
Plain link. We have no deal with QuickBooks and earn nothing.
Best if your accountant already uses it. Sole traders whose accountant works in Xero and wants access.
£16 a month plus VAT (Ignite)
Plain link. We have no deal with Xero and earn nothing.
Best if you bank with NatWest, RBS or Mettle. Sole traders with a NatWest, RBS, Ulster Bank or Mettle business account, who get it free.
£0 with a NatWest, RBS, Ulster Bank or Mettle account
Plain link. We have no deal with FreeAgent and earn nothing.
What we'd want to know before paying for each one.
The free tier covers MTD but only 25 categorised transactions and five invoices a month, which a working tradesperson passes quickly. The paid plan is still the cheapest here.
The big introductory discount lasts six months; budget for the full price after that. Check the plan you pick covers MTD for Income Tax, not only VAT.
Ignite is enough for most sole traders, but at full price it costs more than Sage or QuickBooks. It's worth it mainly if your accountant already works in Xero.
Free with NatWest, RBS, Ulster Bank or Mettle, and good value then. Without one of those accounts it costs £19 a month plus VAT, the most of the four.
Prices are the sole-trader plans as listed between July and September 2026, before VAT and before introductory offers. Offers change often, so check the price on the provider's own page before you sign up. Every product here is on HMRC's list of software for MTD for Income Tax; check the plan you choose covers it, not only VAT.
We have no deal with any of these 4, so every link on this page is a plain link and we earn nothing from it. How we make money
Cheapest paid plan · Plain link
Sage, from £7 a month