Worried about getting your tax sorted? HSBC and Sage team up ahead of Making Tax Digital deadlines

• Sage accounting tools will be integrated within the HSBC app in a new My Business Finances tool
• 70% of sole traders aren't ready for impending MTD changes set from April 2026
• As many as one in three are still using pen and paper to track finances

HSBC is teaming up with accounting software provider Sage to help prepare sole traders for impending Making Tax Digital (MTD) requirements with as many as 70% not prepared for the change of rules.

As part of the partnership, Sage's accounting tools will be built directly into the HSBC app to let small business owners manage accounts and invoices, track finances and submit digital tax returns straight to HMRC.

Putting the tools in the hands of sole traders marks a significant move forward, with as many as a third still tracking their income and expenses with pen and paper.

Sage will be built into the HMRC app for sole traders

The two companies expressed a desire to tackle the complexity currently perceived by sole traders when it comes to digital finances, stating that the built-in tools will save them time and help them stay compliant with MTD rules.

"HSBC My Business Finances will take care of a business' invoicing, accounting and tax compliance all in one place," HSBC UK SME Business Banking Head Tom Wood said. "This is especially useful ahead of new tax reporting requirements in April."

Accounting and tax software is already readily available with various third-party integrations to link tools, including live bank feeds that pull transactions directly into accounting dashboards, but HSBC wants to flip this on its head by bringing those accounting tools to its mobile banking app instead.

"Powered by our embedded accounting technology, HSBC UK can deliver trusted accounting and tax in one unified experience," Sage Fintech & Embedded Services SVP Gordon Stuart added.

My Business Finances within the HSBC app will first be available to sole traders and landlords, they confirmed, implying a wider rollout may eventually be on the cards for other business types.

Though not generally available just yet, HSBC and Sage promise to deliver the tool "ahead of" the rule changes in April 2026.

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