To run a UK accounting practice as a regulated member of ICAEW, ACCA or AAT, you need a practising certificate (or AAT Licence). All three bodies require: appropriate qualification level, post-qualification experience, professional indemnity insurance, AML supervision, ongoing CPD and a fit-and-proper test. ICAEW is the most regulated and audit-capable; ACCA is broadly similar with strong international recognition; AAT licensing is the lightest-touch and quickest, suitable for accounting and bookkeeping but not statutory audit.
Comparison at a glance
| Requirement | ICAEW Practising Certificate | ACCA Practising Certificate | AAT Licence (Accountant or Bookkeeper) |
|---|---|---|---|
| Underlying qualification | ACA member of ICAEW | ACCA member | AAT MAAT (Accountant Licence) or AAT Bookkeeping Level 3+ (Bookkeeper Licence) |
| Post-qualification experience | 2 years minimum, in approved environment | 2 years minimum, in approved supervised environment | 1 year of relevant experience |
| Audit eligibility | Yes, with separate Audit Qualification and RI status | Yes, with separate ACCA Audit Qualification | No statutory audit |
| AML supervision | By ICAEW | By ACCA | By AAT |
| PII required | Yes, minimums set by ICAEW | Yes, minimums set by ACCA | Yes, AAT minimum cover required |
| Annual CPD | ICAEW outcomes-based framework | 40 units per year (or unit-free outcomes) | AAT cyclical CPD |
| Annual practice fee | Higher (varies by category) | Mid-range | Lowest of the three |
| Inspection regime | ICAEW Quality Assurance Department; risk-based | ACCA monitoring; risk-based | AAT Compliance Reviews |
ICAEW Practising Certificate
To hold an ICAEW Practising Certificate (PC) you must be a member of ICAEW (i.e. ACA-qualified) and:
- Have completed the ICAEW post-qualification experience requirement (typically two years in a relevant role)
- Pass the ICAEW fit-and-proper assessment
- Hold appropriate PII compliant with ICAEW's minimum requirements
- Comply with annual CPD and AML obligations
If you intend to perform statutory audit, insolvency, probate or investment business, additional ICAEW authorisations are required. ICAEW PCs are the most regulated and most respected for large-firm and audit work.
ACCA Practising Certificate
For an ACCA Practising Certificate you must be an ACCA member and:
- Complete at least two years of supervised post-qualification experience in an ACCA-approved environment
- Pass the ACCA Practising Certificate experience assessment
- Hold appropriate PII
- Comply with ACCA's CPD requirement (40 units per year or unit-free outcomes)
- Be supervised by ACCA for AML
To provide statutory audit you need an additional ACCA Practising Certificate with audit qualification.
AAT Licence (Accountant or Bookkeeper)
The AAT Licence is the most accessible route to running an SME-focused practice. To apply:
- Hold AAT MAAT membership (Accountant Licence) or AAT Bookkeeping Level 3+ membership (Bookkeeper Licence)
- Demonstrate at least one year of relevant practical experience
- Pass the AAT fit-and-proper assessment
- Hold professional indemnity insurance to AAT minimums
- Be supervised by AAT for AML
- Maintain AAT cyclical CPD
AAT Licensed Accountants can offer a wide range of services to SMEs including bookkeeping, VAT, payroll, accounts preparation, personal and corporate tax. Statutory audit is not within scope.
Common requirements across all three bodies
Whichever body you fall under, you will need:
- Appropriate PII to your body's minimum cover requirements
- AML supervision (by your body)
- A written firm risk assessment and AML policies
- An engagement letter compliant with body guidance for every client
- Annual CPD evidence and declaration
- A complaints handling process
- Procedures for client money (if you handle it) compliant with body rules
Which body is right for your practice?
- ICAEW if you are ACA-qualified and aim to work with larger UK clients, statutory audit, or specialist work (insolvency, probate, investment)
- ACCA if you are ACCA-qualified and want flexibility across SME and mid-market work, with strong international portability
- AAT if you are AAT-qualified and aim to serve SMEs, freelancers and limited company directors with bookkeeping, accounts and tax
Many UK accountants hold multiple memberships (e.g. ICAEW + CIOT for tax specialists, AAT + ACCA progression). You only need a practising certificate from one body to provide regulated services, although you must comply with each body's rules where you hold membership.
Key Takeaways
- ICAEW PC, ACCA PC and AAT Licence all let you run a UK accounting practice; each has its own requirements
- Audit work requires a separate audit qualification and authorisation (ICAEW or ACCA only)
- All three bodies require PII, AML supervision, CPD compliance and post-qualification experience
- AAT licensing is the lightest-touch and quickest; ICAEW PCs are the most regulated
- You can be a member of multiple bodies but only need one practising certificate
Frequently asked questions
Can I run a practice without a practising certificate?
If you are a member of ICAEW, ACCA or AAT and offer paid accounting services to the public, you must hold the appropriate practising certificate or licence. Operating without one breaches your body's rules and may also breach AML supervision requirements. Non-members can register directly with HMRC for AML supervision and trade as unregulated bookkeepers, but lose the protection of professional body regulation.
How long does it take to get a practising certificate?
Application processing varies but is typically 4 to 12 weeks once you can evidence the experience requirement and submit a complete application.
Do I need a practising certificate to do work as an employee?
No. Practising certificates are required when you provide services on your own account or as a partner/director of a firm offering services to the public.
Which body is cheapest to be licensed with?
AAT is generally the lowest-cost body for an active practice licence. ICAEW practising certificate fees are typically the highest, particularly for partners and audit-firm sole practitioners.
Can ICAEW members do tax work without CTA?
Yes. ICAEW PCs cover the tax services typical of a general accountancy practice. CTA is needed only for specialist senior tax advisory work, although many practices employ CTAs for complex cases.