--- title: "Accounts payable processing for UK businesses" description: "Accounts payable outsourcing: invoice capture, coding, 3-way matching, approval routing and payment-run preparation — you release the funds — for UK." url: https://ledgerbpo.com/uk/services/accounts-payable/ updated: 2026-09-11 publisher: LedgerBPO (SS Support Network LLC) language: en-GB --- # Accounts payable processing for UK businesses LedgerBPO's accounts payable outsourcing UK service gives you a named dedicated AP specialist who captures every supplier bill, applies Construction Industry Scheme deductions where they apply, codes VAT correctly and prepares payment runs inside your Xero, QuickBooks Online or Sage 50 file. You approve and release every payment. We never move money. - Since 2020 - 🇬🇧 United Kingdom, GBP - 8am to 6pm GMT coverage - Named accountant plus backup [Get a custom quote](https://ledgerbpo.com/get-a-quote/) [Book a 20-minute call](https://ledgerbpo.com/book-a-call/) In short - Bills captured, coded, matched and approved inside your own tools - Payment runs prepared for you to approve and release; we never move money - Vendor statements reconciled and early-pay discounts tracked Updated September 2026 ## What is different in United Kingdom UK accounts payable has two extra layers most bookkeeping elsewhere does not. Where a business pays subcontractors under the Construction Industry Scheme, 20 or 30 percent must be deducted from the labour element before payment, verified against HMRC records. Purchase VAT has its own rules too, including the domestic reverse charge on most construction services between VAT-registered businesses, so the wrong treatment on a supplier bill can distort the VAT return as well as the ledger. Payment runs typically move by Bacs or Faster Payments, with a shrinking number of suppliers still expecting a cheque. Sage 50 remains common among UK manufacturers and builders alongside Xero and QuickBooks Online, and our specialists prepare every run for you to release, working UK hours from our second office in Pakistan. ## UK rules that shape the work ### CIS deductions on subcontractors Payments to construction subcontractors carry a 20 percent deduction for verified subcontractors or 30 percent for unregistered ones, calculated on the labour element only and reconciled to HMRC records. ### VAT reverse charge on construction The domestic reverse charge shifts VAT accounting to the customer on most construction services between VAT-registered businesses, and we check every relevant bill for the right treatment. ### Payments and cheques Bacs and Faster Payments cover most supplier runs, and we still handle the occasional cheque payment for suppliers who have not moved to electronic banking. ### Software for UK payables Xero, QuickBooks Online and Sage 50 cover most of our UK accounts payable clients, with Dext used to capture bills from email and paper. ## What's included - Dedicated AP inbox monitored daily for emailed, portal and paper bills - Bills captured through Bill.com, Dext, Hubdoc or your AP tool - Every bill coded to account, class, job, location and entity - Two-way or three-way match against purchase orders and receiving records - Approval routing to the right approver by vendor, amount or department - Duplicate, mismatched and out-of-policy bills flagged before approval - Weekly payment-run proposal with due dates, discounts and cash needed - Payment batches prepared in Bill.com, Melio, Plooto or your bank portal for your release - Vendor statements reconciled to the AP ledger and differences chased - Early-payment discounts and late-fee risks tracked per vendor - AP aging and accrual report at month-end for the close - Vendor payment-status questions answered under your brand ## Deliverables and KPIs | Deliverable | KPI we report | | --- | --- | | Bills captured and coded | Every bill in the queue within 1 UK business day of receipt | | CIS deductions applied | Correct deduction rate applied and reconciled for every subcontractor payment | | Payment run proposed | Due bills and cash required listed for your approval each week | | VAT treatment checked | Reverse charge and standard-rated bills coded correctly before the VAT return | ## UK software we work in - [Xero](https://ledgerbpo.com/software/xero/) - [QuickBooks Online](https://ledgerbpo.com/software/quickbooks-online/) - [Sage 50](https://ledgerbpo.com/software/sage-50/) - [Dext](https://ledgerbpo.com/software/dext/) - [All 50 platforms](https://ledgerbpo.com/software/) ## Pricing in GBP Pricing depends on volume and scope. Get a custom quote within 1 business day. Quotes for United Kingdom clients are issued in GBP. ## Security and compliance - The client approves and releases every payment; we never move money - Preparer-only roles in Bill.com, Melio or Plooto; no bank credentials held by our team - MFA on every login, access logged per user, vendor bank-detail changes verified by callback Full control list on the [security page](https://ledgerbpo.com/security/) and country rules on the [compliance page](https://ledgerbpo.com/compliance/). Certifications are listed only when held. ## Frequently asked questions ### How much does accounts payable outsourcing cost in the UK? Pricing depends on volume and scope, so we send a custom quote within 1 business day. As a UK benchmark, bookkeeping and payables support typically runs £20 to £55 per hour, with fixed fees from £100 to £1,500 per month (UK provider pricing surveys, 2026). Bill volume and CIS complexity move the quote most. ### Do you submit our VAT return or accounts? No. We code bills to the right VAT treatment and keep the payables ledger reconciled, but the VAT return itself is prepared as workings for you or your accountant to review and submit, and annual accounts are filed by your accountant with Companies House. ### Do you cover UK hours? Yes. AP specialists work from our second office in Pakistan on hours built around the UK working day, so payment run proposals and vendor queries are ready before your team starts work, not left overnight for the next morning. ### Will you have access to release payments? No. We hold preparer-level roles only in Bill.com, Xero, QuickBooks Online or your bank portal, and we capture, code and prepare the payment run. You or your named approver releases every payment, and we never move money on your behalf. ### How do you handle CIS verification for new subcontractors? We compile the verification data HMRC needs before the first payment, record the deduction rate that comes back, and apply it to the labour element of every invoice from that subcontractor, reconciling deductions to the monthly CIS figures each period. Next step ## Books closed. Invoices paid. Every month. Tell us what is going on with your books or billing. You will hear from a named person within 1 business day, with a custom quote and a plan for the first close. - Reply from a named person within 1 business day - No setup fee, month-to-month - Your software, your data, no lock-in Start with a custom quote [Get a custom quote](https://ledgerbpo.com/get-a-quote/) [Book a 20-minute call](https://ledgerbpo.com/book-a-call/) Or call [+1-657-777-0006](tel:+16577770006) during US, UK or Australian business hours. --- Source: https://ledgerbpo.com/uk/services/accounts-payable/ · Contact: https://ledgerbpo.com/contact/ · Full site map for agents: https://ledgerbpo.com/llms.txt