The admin Tax: How Wasted Time Holds Back Growth
What is the admin tax
Think of the admin tax as the silent cost your clients pay every day.
It’s the hours lost to spreadsheets, receipts, and data entry — time that could’ve gone into strategy, not paperwork.
Automation isn’t just faster. It frees people to think bigger.
The reality in 2025
The UK economy hasn’t slowed its pace of change — and neither have the pressures on small businesses.
From shifting tariffs to new budget rules and the next stage of MTD for IT, every adjustment lands squarely on small firms and their accountants.
Yet clients still expect clear, accurate forecasts.
That’s why Dext surveyed 500 UK small business leaders in mid-2025 — to learn how uncertainty is reshaping financial management.
Over half (54%) said today’s climate feels more unpredictable than COVID.
As one respondent put it:
“For small business owners and the accountants they trust, that’s a sobering thought.”
How admin drains energy
Behind the numbers lies something more human.
Almost half (47%) of business leaders say they’ve questioned whether their dream is still worth it.
A third (36%) admit they’ve lost sight of why they started.
And it’s not just the economy doing this — it’s the constant drag of admin.
Nearly half believe they’d be stronger leaders if they could simply escape the paperwork.
“We’re past resilience,” says Sabby Gill, CEO of Dext. “These businesses are stuck in survival mode. Without support, we risk losing a generation of entrepreneurs.”
The Confidence gap
29%
Only 29% of UK SMB leaders plan ahead for a potential recession.
27%
Just 27% regularly update their plans as new data comes in.
8%
The gap: only 8% of leaders over 45 feel confident facing a downturn, while 51% of younger do.
That’s where accountants come in — not just as number-crunchers, but as advisors who help clients see further ahead.
Technology as a bridge
With modern automation, accountants can:
Build financial models in minutes using real-time data.
Turn complex ledgers into clear visual dashboards.
Spot risks early and suggest smarter spending strategies.
“Dext releases more than 170 updates every year — always improving, always responding to what the market needs.”
What’s slowing clients down
Manual admin is often a symptom of deeper financial stress.
Almost half of UK SMBs have faced cash-flow struggles or relied on emergency funding. One in four has paused hiring or growth plans — or missed opportunities entirely because of regulatory shifts.
These decisions weigh heavily, and clients rely on accountants to guide them through.
Why automation matters
Over half of SMBs still manage their books manually:
- That’s time, energy, and accuracy slipping away.
- Accountants can change that.
- Automation doesn’t just save hours — it brings confidence back into the room.
“Dext took a 40-hour-a-month job down to just three,” one client told us.
Today, more than 700,000 businesses use Dext to reclaim their time and focus.
41%
rely on spreadsheets.
32%
handle finances without external help.
Digital-first workflows, real results
With Dext, accountants and clients can:
Track expenses in real time with 99% accuracy.
Sync bank feeds automatically.
Store and organise financial records securely.
Capture receipts instantly with Dextension.
Integrate seamlessly with Xero, QuickBooks, Sage, MYOB, FreeAgent, Bright, and IRIS.
Refocusing on what matters
More than half of business leaders say another cost increase could put them at risk. Over half (53%) find it almost impossible to make clear strategic decisions.
When accountants free clients from admin, they free up headspace for what really matters:
Winning new business
Improving customer experience.
Developing strategy.
Growing teams.
Even protecting their wellbeing — 81% say they’d finally have time for their own health if admin weren’t in the way.
What business leaders dream of
Making space for growth
Even now, ambition hasn’t faded.
Half of UK business leaders still aim to grow revenue.
Four in ten want better cash-flow management.
Three in ten are focused on safeguarding jobs.
The real obstacle?
That hidden admin tax — stealing time, creativity, and focus.
Take the next step
Help clients reclaim that time.
Book a demo with Dext, the automation platform trusted by over 700,000 businesses.
When the admin burden disappears, growth returns — naturally.
“Dext isn’t just automation. It’s a catalyst for building something bigger.”
Try Dext yourself with our 14-day free trial
Discover why over 700,000 customers worldwide use Dext to make more time for business and what they do best.
