FreeAgent Review 2026 — Free With Mettle, MTD-Compliant, Best for UK Sole Traders
The Mettle deal — genuinely free accounting
FreeAgent has been bundled free with NatWest, RBS, and Mettle (NatWest’s digital banking arm) business current accounts since 2017. As of 2026-05-19, this deal remains active. For a UK sole trader earning £20K-£80K:
- Open a Mettle account (free, no monthly fees, business Mastercard debit card)
- FreeAgent activates automatically — zero software cost
- Connect your existing bank via Open Banking if Mettle is not your primary account
- Submit quarterly MTD for Income Tax updates directly from FreeAgent
Total cost: £0.
Verified: mettle.co.uk/business-banking/free-accounting-software — 2026-05-19
MTD for Income Tax — FreeAgent’s winning card
FreeAgent is on the HMRC MTD-compatible software list for Income Tax as of 2026-05-19. The quarterly submission workflow is built into the product: your income and expenses categorise throughout the quarter, and a one-click submission sends the quarterly update to HMRC’s API.
For UK sole traders above the £50K threshold (mandatory from April 2026), FreeAgent removes the compliance anxiety and the accountant cost typically associated with MTD prep.
HMRC MTD compatibility: gov.uk/guidance/find-software-thats-compatible-with-making-tax-digital-for-income-tax
Core feature quality
Bank feeds: FreeAgent uses Open Banking (PSD2) for UK bank connections — the same standard that Xero uses. Connection quality to NatWest, Barclays, HSBC, Lloyds, Starling, and Monzo is excellent. Mettle customers get a direct native integration.
Invoicing: Clean invoice builder, online payment via Stripe or GoCardless, automatic payment reminders. Comparable quality to FreshBooks at a fraction of the retail price.
VAT returns: FreeAgent handles MTD for VAT (mandatory since 2022) and MTD for Income Tax (2026-2028). Both submission types are built into the same workflow.
Self Assessment / SA103: FreeAgent produces a pre-populated Self Assessment return at year-end, which your accountant can review and submit. This is the biggest accountant-time-saver in the product.
Pricing (verified 2026-05-19)
| Route | Cost |
|---|---|
| With Mettle/NatWest/RBS business account | £0 |
| Retail (solo contractor plan) | £19/mo + VAT |
| Retail (limited company plan) | £29/mo + VAT |
Don't use this for: US-based businesses, businesses needing multi-entity or complex inventory, or sole traders above £150K turnover needing advanced reporting
FreeAgent is built for UK micro-businesses and sole traders. It does not support US tax filings, has no meaningful inventory management, and lacks the advanced reporting required for larger limited companies. UK businesses above £150K turnover typically graduate to Xero or QuickBooks Online for stronger multi-user workflows and accountant integrations.
Bottom line
FreeAgent earns its 8.5/10 — the highest score in our review set — primarily because the Mettle deal makes it the best-value accounting solution available for UK sole traders. MTD compliance, solid invoicing, Self Assessment pre-population, and Open Banking bank feeds at £0 is a combination no competitor can match at this price point.
General information only — not tax advice. Verify the Mettle deal at mettle.co.uk and FreeAgent pricing at freeagent.com. Last tested 2026-05-19.