Artificial intelligence isn’t just a buzzword anymore; for many of us, it’s slowly becoming embedded in our lives and the way we work. For the early adopters amongst businesses, it’s now reshaping how they operate; no department is untouched as professionals realise its applications across finance, marketing, and HR.
But as is the case with all technologies, it comes with a stern recommendation for human oversight. After all, how much can you really trust automation with your financial data? At Foxley Kingham, we’ve been watching the rise of AI with both enthusiasm and caution. We believe technology can make businesses smarter and faster, but only when combined with qualified, professional oversight.
The rise of AI in business
AI is already woven into the daily fabric of so many enterprises. According to the ICAEW, around 75% of finance teams are now using AI to streamline operations and improve decision-making¹. Meanwhile, accountancy firms are embracing AI to automate data-heavy tasks and drive efficiencies. And for businesses, these benefits are far-reaching: automated invoicing tools chase payments while you focus on clients; data dashboards provide real-time insights that used to take hours of spreadsheet work; cashflow forecasting tools can now simulate multiple “what if” scenarios in seconds. A recent survey by Moneypenny of UK businesses found that the top cited benefits were indeed time savings (54%), productivity gains (48%) and cost savings (42%)².
But there’s a catch, and it’s an important one. The more businesses rely on automation, the more critical it becomes to understand what the technology is actually telling you. AI is powerful, but it’s not infallible. Not every output tells the full, accurate story.
What AI can and can’t do?
Let’s be honest – AI excels at jobs that most people find boring and time-consuming. It’s brilliant at repetitive admin like data entry, bank reconciliations, and receipt scanning. But what it can’t do is read between the lines to interpret the bigger financial picture. AI might tell you your profit margin dropped by three per cent this quarter. But it won’t have the experience or nuance to examine that against the wider business landscape to tell you whether that’s because of rising costs, a seasonal dip, or a change in client behaviour. It can’t weigh up business risk, optimise your tax position, or explain why an anomaly matters, let alone give you advice on what to do about it.
The distinction is subtle but absolutely critical. AI produces outputs; accountants provide insight. Algorithms generate data; humans translate it into meaningful, strategic action. The future of accounting isn’t about replacing professionals with machines – it’s about “augmented intelligence,” where technology supports rather than supplants human expertise, giving teams more time to think strategically on behalf of businesses.
Risks to consider
AI also brings new responsibilities to teams, the absence of which pose risks to businesses. Data security and confidentiality are top of the list, especially as more systems move to the cloud. These tools still depend entirely on the quality of the data you feed them, the difference being when it’s AI doing the calculations, there’s less time for you to spot your own error. If the inputs are wrong, the outputs will be too.
The UK regulatory framework for business finance is incredibly complex – and it changes fast. Initiatives like Making Tax Digital are transforming how businesses report to HMRC, and the tax landscape continues to shift and change at a pace that only qualified professionals can keep up with. These technologies are useful, but they do make mistakes, and frequently. So, bear in mind that responsibility for the numbers – and for the decisions based on them – still sits squarely with business owners and their advisers, not the technology.
Adding value in the AI era
At Foxley Kingham, we see AI not as a competitor, but as a collaborator. Our role is to help clients harness its potential to assist with finance, safely and strategically. If you’re looking to build it into the finance function of your business, we can assist with the following:
- We can help to identify and integrate the right digital tools for your business size and sector.
- Provide checks and balances to ensure automation aligns with your own tax and reporting requirements.
- Help you to leverage AI insights to guide better planning, budgeting, and forecasting.
- Translate data into practical business advice to help you make decisions with confidence.
AI will keep transforming how we work but make no mistake – it’s not replacing accountants. AI can give you faster answers, but the only way they’ll mean anything is with human oversight and context. The most successful businesses in the next decade will be those that embrace technology while keeping trusted professionals at the head of all strategy, and Foxley Kingham are ideally placed to support with that. Get in touch with our team on 01582 540800, or by emailing accountants@fkca.co.uk, if you’d like a confidential discussion on how we can help you and your business.