Microsoft's AI chief Mustafa Suleyman has predicted that most accountancy work will be automated by artificial intelligence within two years, as the technology reaches 'human-level' performance in office-based roles.
AccountingWEB's technology editor Tom Herbert covered the claim in this week's Accountech Bytes. The prediction follows a year where AI shifted from hype to practical integration, with tools like Microsoft Copilot embedding into existing workflows.
Vendors are moving quickly. Xero introduced GenAI for bank reconciliations and support queries. Intuit launched 'Assist' for personalised recommendations. Sage is pushing AI-driven real-time data to eliminate monthly closes. Wolters Kluwer's CCH tool extracts tax data from unstructured sources like emails.
Scepticism persists
The profession isn't convinced. Users are rejecting AI integrations when costs get passed to smaller platforms. Xero's API changes could cost small software providers £17,000 annually, potentially stifling innovation.
Critics argue much 'AI' is rebranded automation. Systems programmable via conventional methods don't qualify as genuine intelligence. Firms lag on data security, slowing adoption.
What's actually changing
Certain tasks are automating. Thrive Holdings targets junior-level work with AI, potentially shifting juniors toward advisory. Making Tax Digital for Income Tax launches April 2026 [UK], affecting around 1 million sole traders initially, with another million in 2027. Compliance pressure will accelerate tool adoption.
Historical context matters. Accounting automation started decades ago (Excel launched 1985). Current AI agents handle tasks with human direction, not independently.
The timeline
Two years seems optimistic. Tools are improving, but full automation requires solving data quality, regulatory compliance, judgement calls, and client relationships. The work will change. Whether it disappears entirely is another question.
Stay updated and open-minded. AI is integrating into existing tools, not replacing roles overnight. The practitioners who adapt will shape what comes next.