Pros And Cons Of Pursuing Accounting As A Career In The UK
Are you passionate about accounting and want to pursue an accountancy career in the UK? Over the years, accounting has become a popular career because of job security and attractive salaries. However, before choosing, one should weigh the benefits and drawbacks of the profession.
This article explores the advantages and disadvantages of pursuing an accounting career in the UK. Furthermore, this guide will assist you in making an informed decision whether you're a student considering career alternatives or a working person thinking about changing careers.
Read on to learn about the pros and cons of pursuing a career in accounting in the UK.
Overview Of The Accounting Profession In The UK
The accounting profession in the UK is a diverse and complex field. It involves recording, analyzing, and communicating financial information to help businesses and organizations make informed decisions.
The accounting profession in the UK is well-regulated. The two major accounting professional bodies are the Institute of Chartered Accountants in England and Wales (ICAEW) and the Association of Chartered Certified Accountants (ACCA). These professional organizations provide education, training, support, and professional development opportunities.
Career paths in accounting include audit, tax, financial accounting, corporate finance, etc. Hence, as an accountant, you can work in different industries, such as finance, government, banking, and construction. Working for any small business accounting firm in the UK is also a good place to start.
Over the years, the accounting industry in the United Kingdom has changed due to globalization, technology, and regulation. Therefore, Accountants must know about digital technology, sustainability reporting, and data analytics to meet the global standard and become employable.
The Demand For Accountants In The UK
Accountants in the UK are essential for business organizations. Hence, there is a strong demand for accounting professionals. The demand for accountants is influenced by the economy, tax laws, and current business trends.
Several sectors are particularly active in recruiting accountants, such as finance and insurance, professional services, and the public sector. Furthermore, the demand for accountants in these sectors is driven by the need for financial reporting and analysis, tax filing and compliance, and business advisory services.
Pros Of Pursuing Accounting As A Career In The UK
Accountancy as a career has numerous personal and professional benefits. The pros of pursuing an accounting career in the UK include the following:
1. High demand
Accounting is in high demand, and the trend will continue to rise. Businesses require accounting services, meaning that there are job opportunities for accountants. The Bureau of Labor Statistics predicts that the employment of accountants and auditors will increase significantly by 6 percent from 2021 to 2031, higher than the average for all occupations.
2. Job security
Accounting has excellent job security, thanks to the high demand for accountants. Due to the importance of accounting functions, businesses will always need accountants irrespective of the economic situation. Companies need accountants for tax filing, payroll processing, financial statement preparation, and other small business accounting services.
3. Career advancement opportunities
Accounting offers a clear career path and several advancement opportunities. Therefore, you need a bachelor's degree to get an entry-level accounting job. However, after gaining experience and knowledge, one can strive to achieve higher-level roles.
4. High earning potential
Accounting offers high earning potential. The Bureau of Labor Statistics reported that the median annual wage for accountants and auditors was $77250 in May 2021. Furthermore, Accountants can gain extra income by obtaining certifications, such as a CPA or CMA.
5. Flexibility
Accounting as a career offers flexibility. Accountants can work from the office. However, the most important idea is that they can work remotely or with flexible schedules. Furthermore, Accountants can work in various industries, such as education, government, etc.
Cons Of Pursuing Accounting As A Career In The UK
While there are several benefits of an accounting career in the UK, there are some disadvantages too. Hence, consider both before deciding on what to do. The cons of pursuing accounting as a career are:
1. High educational requirements
You must pass through a rigorous process before becoming an accountant. The standard requirement for accounting jobs is a bachelor's degree, while many employers favor candidates with master's degrees. Furthermore, to become a chartered accountant, a candidate must pass a stressful exam. For many people, this procedure can be overwhelming and time-consuming.
2. High stress levels
Accounting requires accuracy, attention to detail, and organizational skills. Accountants are responsible for the rigorous task of recording and analyzing financial data appropriately. Furthermore, accountants frequently work under tight deadlines and manage several projects instantaneously, which causes significant stress.
3. Repetitive work
Accounting is repetitive. Therefore, accountants do the same tasks of recording and reconciling accounts repeatedly. Some people would become bored and monotonous as a result, which would make their jobs less satisfying.
4. Long hours
Accountants typically work for long hours, especially during tax season. This may lead to a poor work-life balance and burnout. Accountants may have to work on weekends or holidays, which can be difficult for people with personal commitments or family.
5. Limited creativity
Accounting is rooted in rules, regulations, and professional ethics. Therefore, accountants must adhere to these rigid rules, which leaves little space for creativity. It could be a drawback for those with innovative thinking skills and creative problem-solving.
6. Limited interaction with people
The field of accounting calls for a lot of focus and concentration. Since they frequently work alone, accountants have few opportunities to communicate with others. This may be a drawback for people who benefit much from interpersonal relationships and teamwork.
Required Qualifications To Become An Accountant In The UK
Before becoming an accountant in the UK, you must obtain educational qualifications and other requirements. These qualifications vary depending on the type of accounting practice you want to specialize in.
Generally, students must first complete a bachelor's in accounting or related subjects. Then apply for professional accountancy qualifications approved by top UK chartered accountancy bodies. We will explain the required qualifications to become an accountant in the UK.
1. Academic qualifications
A degree in accounting or a related subject such as economics or finance is necessary to become an accountant in the UK. Most firms favor applicants with at least a second-class upper-degree classification. However, they may consider candidates with a second-class lower degree if they possess extra qualifications or relevant job experience.
2. Professional qualifications
Becoming a chartered accountant in the UK requires you to complete a professional qualification recognized by various UK accounting bodies such as CIMA, ACCA, and CIMA. There are different pathways, such as university study and apprenticeships. The time required to earn a professional accountancy qualification varies based on your path.
3. Work experience
Most employers favor people with experience in accounting or a similar industry. You can get work experience through placements, internships, or entry-level accounting jobs.
4. Professional ethics
Chartered accountants should maintain the ethics of the profession. There are codes of ethics for members of UK accounting bodies. As a chartered accountant, you must uphold high standards of professional ethics. The UK accounting bodies have codes of ethics that members must follow. It is crucial to demonstrate understanding and commitment to professional ethics during training and career.
5. Continuing Professional Development (CPD)
UK Chartered accountants must undertake Continuing Professional Development (CPD) to improve their professional skills and knowledge. Members must complete a set number of CPD hours annually to keep professional membership.
Conclusion
There are advantages and disadvantages to pursuing an accounting career in the UK. Therefore, it is advisable to consider them before deciding on your next move. From one point of view, accounting has a high employment potential, with good pay and career advancement pathways. However, the profession requires attention to detail and analytical skills, making it competitive and challenging.
It's critical to thoroughly analyze your interests, skills, and ambitions if you're thinking of a career in accounting. Find out if the field matches your career goals and that you are prepared to invest in the educational requirements and work experience.
If you have considered all the pros and cons and still want to pursue an accounting career, this article will guide you. Your first step is to research the top accounting courses in the UK. If you are already working and don't have all the time in the world, you can consider the best online universities in the UK.
Furthermore, you can contact an accountancy professional for guidance and advice. Irrespective of your career choice, It's crucial to pursue your passion and work hard to achieve your goals.
