How IRIS is using AI to help accountants

If there’s one thing that keeps accountants up at night, it’s risk.

Every day we’re wading through a sea of data. That means there’s often a sense, no matter how hard you work, that something might slip through the cracks. A missed dividend, a manual entry error, a number that just doesn’t add up.

So, how can IRIS use the AI functionality it has been developing behind the scenes to help? Despite all the excitement around artificial intelligence, we know accountants don’t want more features for the sake of it. They want smarter tools that help them work faster, catch mistakes before they become problems, and free up time for more lucrative tasks.

Why did we roll out AI anomaly detection first?

When it comes to taxes, we all know filling in the forms is the easy part. What takes up time is checking and double-checking that nothing’s been missed. The busier you are, the more tired you get, the more difficult this becomes.

But now there’s a purpose-built solution to this stress: our new AI-powered anomaly detection tool, now live in IRIS Elements and IRIS Accountancy Suite.

Here’s what makes it special:

• It gives clarity, fast. By comparing current-year returns to historical data, the tool flags anything that looks out of place. It seeks out unexpected income swings, missing interest, or entry errors.
• It’s built for accountants and their busy day. We worked closely with the accounting community to make sure the tool fits seamlessly into existing workflows. There is nothing new to log into; it’s just an extra (optional) check in your existing workflow.
• It’s available to everyone. Whatever your subscription, you get the same enterprise-grade AI at no extra cost.

IRIS accounting AI will not stop at anomaly detection

The anomaly tool is the first of three phases designed to bring trusted, purpose-built AI into accountants’ workflows.

Once all phases are rolled out, we project it will cut tax return preparation time by up to 62.5% and reduce errors by 95%. For a mid-sized firm using IRIS Accountancy Suite, that could mean saving up to £44,930 a year (based on an employee working 9am-5pm at an average-sized practice that is filing 500 returns) and freeing up 1,250 hours. For smaller firms, we predict at least 250 hours back. That’s time that can be spent advising clients, growing the business, or just taking well-earned leave.

Here are the three phases of IRIS AI in more detail:

Phase one: Anomaly detection. This is live now, and helping accountants catch errors early.

Phase two: Intelligent validation against HMRC rules and automated document extraction (such as from payslips and P60s).

Phase three: Full automation, including post-submission monitoring and AI-generated client reporting.

AI implementation that’s as careful as any accountant

Recent research shows that 91% of accountants are already using AI in some form, especially younger professionals who are driving adoption at a rapid pace.

But software used for sensitive work must meet a high standard. Drafting an email is one thing; compliance work is another. That’s why we’ve taken a careful step-by-step approach. We have also focused on making our AI tools intuitive, reliable, and grounded in the realities of UK tax compliance.

Built on Microsoft infrastructure to develop confidence-first AI

And we’re not doing this alone. We’re building on Microsoft’s secure AI infrastructure. That’s peace of mind for firms that need to know their data, and their clients’ data, is safe.

Looking ahead: AI, you, and your accounting practice

AI isn’t here to replace accountants, but help you get away from your desk and become the very human partner your clients need. With better tools, you will be able to make more space to think critically, advise clients, and build lasting relationships.

What I’ve mentioned here is just the beginning. Our investment in AI will extend across payroll, HR, and education, transforming how more than 100,000 organisations operate. But our guiding principle remains the same: smarter choices, made with and for the people who rely on us every day.

Discover more

Read about our new AI solutions – including rollout timings and comments from Microsoft – in our dedicated press release, which you can find here.

Discover more about our ever-evolving accounting solutions.