Key takeaways
What this article covers, in order:
- Four kinds of "free"
- Why the bank feed matters so much
- What's actually free, as of Oct 2026
- Who each one suits
- Questions to ask about any free plan
- When free stops being enough
Free accounting software UK providers advertise can mean four very different things: a permanent free plan, free only while you bank with a particular bank, a free trial, or a heavily discounted first few months. Only the first two stay free, and a live bank feed isn't always included even then. Here's how to tell them apart, and what the main options actually offered as of Oct 2026.
Four kinds of "free"
Aisha has just gone self-employed as a physiotherapist in Leicester. She searches "free accounting software", gets a page of results, and every one says free somewhere on it. Three weeks later she's had two "your trial is ending" emails and one that asks for a card.
None of those companies lied. They just meant different things by free.
| Type of free | What it means | Watch out for |
|---|---|---|
| Free plan | £0 for as long as you stay within the plan's limits | Limits on users, invoices, transactions or bank feeds |
| Free with a bank | £0 while you hold a qualifying account with a partner bank | Moving banks ends the free deal |
| Free trial | Full or near-full product for a set period, then you pay | Re-entering all your data elsewhere if you don't continue |
| Intro discount | A big percentage off for the first months | The full price afterwards, which is the real price |
A trial or discount isn't a bad thing. It's just not the same as free, and it helps to know which you're signing up for.
Why the bank feed matters so much
A bank feed pulls your transactions into your books automatically, usually through Open Banking. Without one, you download a CSV statement from your bank and import it, which works, but it's a monthly chore and easy to let slide.
For reconciliation, a feed means your books are never more than a day or so behind the bank. Without one, they're as far behind as your last import. That's why "free, but no bank feed" and "free with a bank feed" are really two different categories, and it's the first thing to check on any free plan.
What's actually free, as of Oct 2026
We checked each vendor's own UK pricing page in Oct 2026. Prices and offers change often, so always confirm on the vendor's page before signing up.
| Product | Type of free | What the free option includes | Bank feed on the free option? |
|---|---|---|---|
| HelloBooks | Free plan | £0, no card, no expiry. 2 users, up to 200 transactions per year, invoices, bills and quotes, reports, mobile app | Yes, 1 live bank feed via Open Banking, plus CSV import |
| Zoho Books | Free plan | £0. 1 user plus an accountant, up to 1,000 invoices a year | No. The free plan lists adding bank accounts and reconciling transactions; connecting bank feeds starts on Standard |
| Sage Sole Trader | Free plan | Single user, 5 sales invoices a month, 25 auto-categorised transactions; aimed at non-VAT registered sole traders | Yes, connect 1 bank account |
| FreeAgent | Free with a bank | Free while you have a NatWest, Royal Bank of Scotland or Ulster Bank business current account, or a Mettle account with at least one transaction a month | Yes, bank feeds are included in FreeAgent plans |
| Xero | Intro discount | 90% off for the first 6 months, then from £18/month excl. VAT (Ignite); one month free as an alternative | Included in the paid plan; Xero notes some UK banks charge for feeds |
| QuickBooks Online | Trial or intro discount | 30-day free trial, or 90% off for 6 months, then from £10/month (Sole Trader Plus) | Included in the paid plans |
Sources, checked Oct 2026: Zoho Books UK pricing, Sage Sole Trader, FreeAgent pricing, Xero UK pricing, QuickBooks UK pricing.
Who each one suits
Being fair to everyone on that list:
- Zoho Books Free suits businesses mainly after invoicing at volume, who are happy to import statements or upgrade for feeds later.
- Sage Sole Trader Free suits non-VAT registered sole traders with low invoice volume who want one bank account connected.
- FreeAgent suits sole traders, freelancers, contractors and small companies who already bank with one of its partner banks. If that's you, it's hard to argue with.
- Xero suits businesses that are happy to pay for a full product after the offer, especially if their accountant already uses it.
- QuickBooks Online suits businesses that want to try the full product for a month before committing to a paid plan.
- HelloBooks Free suits small businesses that want a permanent free plan with a live bank feed and bank reconciliation, and no card on file.
Questions to ask about any free plan
Before you put a year of transactions into anything, check:
- [ ] Is it free forever, free with conditions, or free for now?
- [ ] Does the free option include a live bank feed, or only CSV import?
- [ ] How many bank accounts can I connect?
- [ ] What are the limits on users, invoices or transactions?
- [ ] Can my accountant or bookkeeper get access?
- [ ] What happens when I hit a limit: blocked, or prompted to upgrade?
- [ ] What does the first paid tier cost at full price, not the offer price?
- [ ] Can I export my data if I leave?
That last one matters more than people think. Free software you can't leave isn't really free.
When free stops being enough
Free plans are designed for small, simple businesses. You'll probably outgrow one when:
- You need more than one bank account or card connected.
- You need more users than the plan allows.
- Your transaction volume passes the plan's cap.
- You want automation, such as automatic categorisation or recurring invoices.
- You trade in more than one currency.
That's not a failure. It's a sign the business is growing. The thing to check is how gentle the step up is. A jump from £0 to £40-plus a month is a different decision from a modest monthly fee.
How HelloBooks Free works in practice
HelloBooks Free is £0, needs no card and doesn't expire. It's not a trial and it isn't going anywhere. It includes:
- 2 users
- 1 live bank feed through Open Banking (most UK banks and cards), plus CSV statement import
- Up to 200 transactions per year
- Free AI credits to get you started
- Invoices, bills and quotes, and unlimited email payment reminders
- Debtors and creditors ageing
- P&L, balance sheet and cash flow reports
- The full mobile app on iOS and Android
- A "Powered by HelloBooks" badge on invoices
Transactions land in a review list where you confirm or change categories. The reconcile screen lines your statement up against your ledger with an AI match suggestion on each line, a confidence score and its reasoning, so you only work the exceptions. When AI credits run out, AI categorisation pauses but your books keep working.
When you need more, Pro is £14.99 a month (or £149 a year) and adds AI auto-categorisation, unlimited bank connections, unlimited users and roles, recurring invoices, bills and approvals, multi-currency with automatic FX, Excel export, and no badge. Compare everything on our pricing page or see how the bank reconciliation works.
FAQs
Is there genuinely free accounting software with a bank feed in the UK?
Yes. As of Oct 2026, HelloBooks Free and Sage Sole Trader Free both include connecting one bank account at £0, and FreeAgent is free with a qualifying partner bank account. Check the limits on each.
What's the catch with free plans?
Usually limits: on users, transactions, invoices or bank connections. Read them before you commit a year of data, and check what the first paid tier costs at full price.
Is a free trial worth doing?
Yes, if you'd be happy paying the full price afterwards. A trial is a good way to test a product, just not a way to keep your books for nothing.
Can I use a free plan for a limited company?
Often, yes, as long as the plan's limits fit your volume. Some free options are aimed at sole traders, so check who the plan is designed for.
Will my accountant work with free software?
Most accountants will work with any software that gives them access and clean reports. Ask whether the free plan lets you invite them, and whether they have a preference.
Free is great. Just make sure you know which kind you're getting before the first reminder email lands.
Start free, no card needed. Try HelloBooks Free
