Is HMRC Right to Worry Accountants Aren’t Ready for MTD?

Cover Image for Is HMRC Right to Worry Accountants Aren’t Ready for MTD?

| Karen Bennet

Why HMRC Raised Concerns at the CPDStore Webinar

At a recent CPDStore webinar, HMRC voiced a concern that surprised many. They weren’t worried about their own systems. Instead, they feared that accountants and bookkeepers would delay their MTD preparation until the very last minute.

“We’ve built the systems, we’ve opened up the pilot, and we’ve worked with software developers. What keeps us awake at night is whether accountants and bookkeepers will engage early enough.”

What Does MTD Readiness Really Mean for Firms?

For HMRC, “readiness” isn’t about software alone. It’s about behaviour. Accountants and bookkeepers must test their processes, prepare clients, and ensure staff are confident before deadlines hit.

Testing means more than pressing a button. It involves submitting dummy returns, checking whether clients’ records are digital-ready, and seeing where workflows break under pressure.

Why Waiting Could Put Your Clients at Risk

The warning from HMRC was blunt: “Don’t wait until you’re forced to test. The later you leave it, the more painful it will be for you and your clients.”

Firms that wait risk last-minute chaos, errors in live submissions, and reputational damage. As HMRC reminded the audience: “Your clients won’t blame HMRC if things go wrong. They’ll blame you.”

How Can Accountants Prepare for MTD Now?

Accountants and bookkeepers who want to stay ahead can act immediately by:

  • Joining HMRC’s pilot environment.
  • Running dummy submissions to spot weaknesses.
  • Training staff on new digital processes.
  • Helping clients understand their obligations.

The message was clear: “Every practice that prepares early will find themselves in a stronger position — not just to comply, but to lead.”

What Lessons Can We Learn from MTD for VAT?

The CPDStore panel also looked back at the introduction of MTD for VAT. Many firms underestimated the preparation needed and left it too late. The result was bottlenecks, panicked clients, and unnecessary stress.

Those who tested early, by contrast, gained a competitive advantage and stronger client trust. The lesson is simple: don’t repeat the same mistakes.

FAQs: MTD Readiness for Accountants

  • Why is HMRC concerned? Because many accountants haven’t started testing and may rush at the deadline.
  • What happens if I don’t test? You risk technical errors, missed deadlines, and unhappy clients.
  • Can I rely on my software provider? No. Compliance requires your processes and client data to be ready too.
  • How do I prepare clients? Communicate early, guide them on digital records, and provide training.

So, Is HMRC Right to Worry?

Yes — but that worry should be a call to action. HMRC’s systems are ready. The real question is whether the profession is.

For those who act now, the transition to MTD can be an opportunity to build trust, strengthen client relationships, and lead the way. For those who delay, it risks being a painful scramble.

Strengthen Your Readiness with Free CPD Training

To help accountants prepare, CPDStore is offering two free CPD-accredited webinars this October:

  • MTD for ITSA – Preparing for the Digital Tax Future (7 Oct 2025) with HMRC experts Chris Bagguley and Lenny Barry.
  • The Cash Basis – Pitfalls, Advantages & Transition (9 Oct 2025) with tax author Carl Bayley.

Both sessions are expert-led, practical, and count towards your CPD.

Book your free place today and stay future-ready.

The contents of this article are meant as a guide only and are not a substitute for professional advice. The author/s accept no responsibility for any action taken, or refrained from, as a result of the material contained in this document. Specific advice should be obtained before acting or refraining from acting, in connection with the matters dealt with in this article. The information at the time of publishing was accurate and could be subject to final changes.

Image of Karen Bennet

About the Author

Karen is The Head of Sales and Marketing at CPDStore. She is an accomplished and results-driven leader with over 15 years of experience in developing and executing innovative Sales and Marketing strategies to drive business growth and enhance brand visibility. As a commercially focused leader, Karen is skilled in building and scaling businesses, and she excels at delivering Sales and Marketing transformations that maximise performance and revenue generation. Karen is passionate about content creation and thought leadership, frequently sharing her expertise on the latest trends in marketing, sales enablement, and the evolving needs of businesses within the payroll and accounting software sector. Whether it's through insightful blog posts, strategic webinars, or collaborative partnerships, she is dedicated to delivering actionable insights that help organizations stay ahead of the curve and thrive in an increasingly competitive market. Karen has a First Class Honours Master's Degree in marketing.