Improving productivity when under pressure: Now is the time for UK businesses to truly automate their finance function

The changes announced in the Spring Statement, tighter HMRC checks and rising costs demand faster, smarter finance tools

The Spring Statement introduced significant fiscal changes for UK businesses. The net result is that UK finance leaders are now facing mounting pressure to adapt – and quickly.

Already grappling with rising wage demands and increased National Insurance contributions, UK businesses are being squeezed with rising inflation, which is hitting labour-heavy sectors like

manufacturing, hospitality, retail and logistics the hardest.

On top of this, the impending arrival of intensified HMRC compliance checks and potential fiscal shifts in line with UK national fiscal targets means that finance leaders can’t delay the digital transformation of their finance function any longer.

Having an automated, AI-powered Purchase-to-Pay (P2P) solution that handles e-invoicing, document management and compliance while securing data in the cloud helps UK finance leaders eradicate inefficiencies and boost productivity among their teams.

John Gronen, Chief Financial Officer at cloud-based, e-invoicing and P2P automation solution provider, Yooz, explains how finance leaders can increase their team’s productivity with automation while navigating the evolving UK finance regulations.

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Fiscal rules UK finance leaders can’t ignore

The latest changes to UK economic policy mean finance leaders must proactively prepare for new compliance demands and cost pressures – or risk falling behind. Staying on top of cash flow, reporting accuracy and regulatory updates is no longer optional, especially as enforcement tightens.

Although the Spring Statement did not introduce new taxes for businesses, HMRC has been allocated an additional £100 million to recruit 500 new compliance officers. Their goal: to recover £241 million in unpaid taxes over the next five years, with increased focus on PAYE, VAT and corporate tax compliance. For finance teams, this signals a clear need for stronger internal controls, better documentation and systems that reduce the risk of manual error or audit exposure.

National Insurance changes add another layer of pressure. The employer contribution rate has risen from 13.8% to 15%, while the earnings threshold has dropped from £9,100 to £5,000. Although the Employment Allowance has been increased to £10,500, many businesses, especially those with larger payrolls, will still see a noticeable rise in costs. This makes it more important than ever to find savings and efficiencies elsewhere.

All of this is unfolding against a backdrop of global geopolitical and economic uncertainty not seen in a generation. Volatile tariffs and shifting trade dynamics are pushing up costs and eroding profit margins, particularly for companies reliant on complex international supply chains.

Faced with these overlapping challenges, implementing a cloud-based, AI-powered Purchase-to-Pay (P2P) solution becomes a strategic necessity. Integrating this type of solution can help finance teams significantly reduce invoice processing costs, improve payment accuracy and free up internal resources.

With built-in compliance tools, audit trails and real-time spend visibility, these platforms don’t just save time, they help businesses adapt quickly to changing fiscal and regulatory conditions.

Why real-time visibility matters more than ever

Manual, spreadsheet-driven finance processes no longer meet the demands of modern businesses. They’re time-consuming, error-prone and divert staff from higher-value, strategic work.

According to Equals Money, UK employees lose an average of 38 working days each year to manual finance tasks – time that could be reclaimed through automation.

Cloud-based, AI-powered P2P platforms offer real-time visibility into transactions, payments and audit trails, all within a secure, scalable infrastructure. Staff can manage sensitive financial data from anywhere, while intuitive workflows help automate approvals, invoice matching and reporting.

The most advanced cloud-based P2P solutions also offer seamless integration with existing ERP systems, enabling improved tracking of purchase orders, deliveries and supplier information. Automated importing and updating of master data ensures finance teams are always working with accurate, up-to-date inputs.

Real-time dashboards provide instant insights into key metrics, helping teams respond quickly to legislative or policy changes. The result is less time spent on admin and more capacity for strategic, value-driven work across the finance function.

E-invoicing as the backbone of a modern finance department 

In February 2025, HMRC and the Department for Business and Trade launched a consultation to explore standardising e-invoicing across UK businesses, aiming to reduce administrative burdens and enhance tax compliance. This marks a significant step toward nationwide digital reporting.

At its core, e-invoicing digitalises the receipt and processing of supplier invoices, making it a foundational element of AP and P2P automation. While there is no mandatory requirement in the UK yet, businesses that begin adopting these systems now stand to gain a competitive advantage by streamlining their AP processes and preparing proactively for potential upcoming regulatory changes.

To ensure the process remains efficient and compliant, e-invoicing systems must integrate seamlessly with supplier management and internal finance workflows. This connectivity enhances invoice processing speed, boosts data accuracy and fosters cross-departmental collaboration.

A robust e-invoicing solution also incorporates fraud detection and traceability features, safeguarding financial data against cyber threats and enhancing document authentication throughout the AP process.

Among its critical compliance capabilities, e-invoicing platforms provide comprehensive audit trails and legal archiving tools that operate seamlessly in the background. These functions are vital

for demonstrating due diligence and regulatory compliance across all transactions.

Together, these features make e-invoicing a foundational element in building a secure, compliant and efficient finance function ready to meet the challenges of evolving regulations.

Balancing connected innovation and compliance

To truly boost productivity, finance teams must move beyond isolated processes and connect finance operations seamlessly with the wider business.

A cloud-based, automated Purchase-to-Pay solution not only supports this integration but also builds in the security and compliance needed to adapt quickly to changing economic conditions and potential new regulatory mandates.

By integrating these capabilities into existing processes, finance leaders gain greater control and visibility, empowering them to make informed decisions with confidence.

For UK finance leaders, automation is no longer optional – it’s the foundation for staying competitive and future-ready.

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