Self-employed property professionals across the UK are grappling with a multitude of pressures, with delayed or unpaid invoices emerging as their most significant challenge. New research from The Accountancy Partnership reveals that nearly three in ten (28.7%) respondents identified late payment as the greatest threat to their business, impacting crucial aspects such as cash flow and financial planning.
Beyond the immediate financial strain of late payments, professionals are also contending with a range of escalating costs. Rising energy bills were a significant concern for 16% of those surveyed, while securing a consistent pipeline of work (14.9%) and increasing software costs (7.4%) also featured prominently among the top worries. These financial pressures are compounded by administrative burdens, with almost 45% pointing to HMRC and tax administration as the primary external factor affecting their operations in the past year, alongside inflation and rising household bills for 41.5%.
Pricing pressures are another pervasive issue within the sector. The survey indicated that businesses most commonly lose clients due to fees, a factor cited by 44.7% of respondents. Poor communication or customer service was also a contributing factor, noted by 26.6%. These commercial challenges are taking a toll on individuals, with over six in ten (61.7%) reporting that industry pressures have led to increased stress or anxiety. A notable 16% also admitted to working longer hours than usual, with over half (53.2%) considering a move to an employed role due to the difficulties faced in the past year.
The prevalence of unpaid work further exacerbates the situation, with nearly three-quarters (73.4%) of professionals stating it is either expected or becoming more common within the sector. Lee Murphy, managing director at The Accountancy Partnership, highlighted the detrimental impact of these issues, particularly how late payments disrupt cash flow and future decision-making for landlords, developers, and other property specialists who often have their own significant financial commitments.
Despite the considerable headwinds, the outlook among property professionals remains broadly optimistic. Almost three-quarters (74.5%) expressed confidence in matching or exceeding their previous year's profit, and 77.6% felt financially secure for the next 12 months. The enduring appeal of self-employment, with its benefits of a better work-life balance (31.9%), greater flexibility around family commitments (25.5%), and autonomy from a manager (21.3%), continues to motivate many despite the challenges.