13th May, London - More than half a million UK sole traders could be unprepared for the government’s first Making Tax Digital (MTD) deadline on 7 August, according to new research from Sage, which found just 8% are currently using accounting software to manage digital tax records.
The research also found:
- 70% of sole traders do not feel confident about the steps needed to stay compliant
- Only 37% correctly identified the 7 August deadline
- Nearly one in five (18%) are more aware of football transfer deadline day than the upcoming tax reporting changes
To raise awareness ahead of the deadline, Sage has teamed up with Gary Neville to launch a new ‘back-of-shirt’ sponsorship for UK tradespeople, offering 10,000 free hi-vis kits alongside access to Sage Sole Trader, its free MTD-compatible accounting software.
The initiative aims to help sole traders earning more than £50,000 prepare for new rules requiring digital record keeping and quarterly tax submissions through approved software.
The sponsorship package includes free high-visibility jackets, polo shirts and stretch holster trousers designed for site use, as well as access to Sage’s software tools ahead of the August deadline.
The sponsorship comes as Sage research highlights a gap in awareness around the first quarterly MTD deadline, with
over half a million sole traders (18%) more likely to be tuned into key summer moments like football transfer deadline day. Among tradespeople, conversations about the game - from big decisions to standout moments - are still more likely to come up day-to-day than discussions around upcoming MTD reporting requirements.
Gary Neville said: “There’s already enough admin pressure on sole traders trying to run a business day to day. A lot of people still don’t realise these tax changes are coming, so this is about helping tradespeople get ready with the right support and tools before the deadline hits.”
The good news is that
almost two thirds of UK tradespeople (61%) believe MTD will make their tax returns more accurate, with MTD likely to reduce manual errors. Furthermore,
over a third (35%) would trust digital accounting platforms like Sage the most in helping them understand new MTD rules, reinforcing Sage’s role as a sponsor supporting sole traders through MTD.
Lisa Ewens, SVP Product, Small Business and Accountants at Sage, said: “Many sole traders are still unaware of how significant this change will be. Making Tax Digital is designed to modernise the tax system, but for many businesses the biggest challenge is simply knowing what they need to do next. We wanted to create a campaign that cuts through, helps sole traders understand what is needed from them and takes them to the places where they can get the support.”
Sole traders can claim their free hi vis work gear and access to Sage Sole Trader software at
www.sage.com/hi-vis ahead of the MTD deadline.
About Sage
Sage exists to knock down barriers so everyone can thrive, starting with the millions of small and mid-sized businesses served by us, our partners and accountants. Customers trust our finance, HR and payroll software to make work and money flow. By digitalising business processes and relationships with customers, suppliers, employees, banks and governments, our AI-powered platform connects SMBs, removing friction and delivering insights. Knocking down barriers also means we use our time, technology and experience to tackle digital inequality, economic inequality and the climate crisis.
About Sage Sole Trader
Sage Sole Trader (previously known as Sage Individual) is Sage’s accounting software designed for sole traders. It helps users stay organised and manage cash flow with simple bank feeds, receipt capture and sales invoicing, while tracking income, expenses and overall business performance. The software also supports tax management, helping sole traders prepare for Self Assessment and get ready for upcoming Making Tax Digital (MTD) deadlines.
Sage Sole Trader | Sage UK
How to claim PPE
From today (13th May), 10,000 h -vis PPE units are available for free when you sign up to Sage Sole Trader or are an existing Sage customer. Visit www.sage.com/hi-vis to claim today while stocks last. Individuals are allowed to choose a maximum of three products each.
Product range available includes:
- Hi Vis Polo Shirt
- Hi Vis Pullover
- Workwear Hybrid Jacket
- Hi Vis Road Safety Jacket
- 4TEX Stretch Holster Trousers
- Hi Vis Vest
