Pricing
subscription
Best For
UK freelancers and sole traders
Rating
8.0/10
Last Updated
Mar 2026
TL;DR
FreeAgent is a UK accounting gem that most people outside Britain don't know about. Built specifically for freelancers, contractors, and tiny businesses, it handles UK tax (Self Assessment, VAT, Corporation Tax) brilliantly. NatWest bought it in 2018 and now offers it free to their business banking customers - which is a genuinely great deal.
What is FreeAgent?
The UK Freelancer's Best Friend
FreeAgent was built in Edinburgh by freelancers who were fed up with accounting software that didn't understand UK tax. That origin story matters. Every feature is designed around UK business reality: Self Assessment, Making Tax Digital for VAT, Corporation Tax estimates. It gets these right without you needing to be a tax expert.
Over 150,000 businesses use FreeAgent. Most are sole traders, contractors, and micro-businesses with under 10 people. It's the kind of tool where you fill in your expenses and invoices throughout the year, then tax time isn't a nightmare.
Time Tracking and Project Billing
Here's something most accounting tools get wrong: they treat time tracking as an afterthought. FreeAgent integrates it directly into the billing workflow. Log hours against projects, set hourly rates per client, and generate invoices from timesheets. Freelancers and consultants who bill by the hour will appreciate this. No more juggling a separate time tracker.
Multi-currency invoicing works well for UK businesses with international clients. You invoice in USD or EUR and FreeAgent handles the exchange rate calculations automatically.
The NatWest Connection
NatWest Group acquired FreeAgent in 2018. If you have a NatWest, RBS, or Ulster Bank business account, you get FreeAgent completely free. That's a £19-39/month saving. For a startup or freelancer, that matters. The bank feed integration with NatWest accounts is also tighter than with other banks, as you'd expect.
Limitations Worth Knowing
FreeAgent is intentionally simple. If you're growing past 10 employees or need complex inventory, you'll outgrow it. There's no purchase order system. Reporting is adequate but not deep. And outside the UK, it's less useful - US and international tax support is minimal.
But if you're a UK-based freelancer or small team? It's hard to beat, especially at free.
Pros and Cons
Pros
- UK tax compliance is exceptional - Self Assessment, VAT, Corporation Tax all handled
- Free for NatWest, RBS, and Ulster Bank business customers
- Built-in time tracking that connects directly to invoicing
- Multi-currency support handles international client billing well
- Interface is genuinely easy to learn for non-accountants
Cons
- You'll outgrow it if your team passes 10 people
- No purchase order or inventory management system
- Reporting is basic compared to Xero or QuickBooks
- Limited usefulness outside the UK due to tax specificity
- No payroll for employees beyond director payroll
FreeAgent Pricing
Sole Trader
- Self Assessment tax returns
- Unlimited invoices
- Bank feeds
- Expense tracking
- Basic reporting
Partnership/LLP
- Everything in Sole Trader
- Partner profit sharing
- Partnership tax returns
- Multi-user access
Limited Company
- Everything in Partnership
- Corporation Tax estimates
- VAT returns (MTD)
- Director payroll
- Dividend tracking
Pricing last verified: March 22, 2026
Who is FreeAgent Best For?
- UK freelancers and sole traders
- IT contractors billing by the hour
- NatWest/RBS business banking customers (free access)
- Micro-businesses under 10 people focused on UK market
Technical Details
The Bottom Line
FreeAgent scores 8/10. It stands out for uk tax compliance is exceptional - self assessment, vat, corporation tax all handled. Best suited for uk freelancers and sole traders. Keep in mind that you'll outgrow it if your team passes 10 people.
Frequently Asked Questions
Based on editorial analysis
