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Article

Reimagining payroll in accountancy – a growth lever, not a loss leader

Article

Reimagining payroll in accountancy – a growth lever, not a loss leader

September 3, 2025

6 minute read

To mark National Payroll Week, Head of Payroll Christina Holloway shares her perspective on why payroll is the heartbeat of any-people powered organisation.

Historically, payroll was often treated as a back-office afterthought in accountancy firms—a routine, tick-box task that happens behind the scenes. Today, that framing is rejected, and payroll is viewed not as an add-on to accounting services, but as a core, strategic discipline that protects clients, drives business value, and frees leaders to focus on growth and key priorities. At Shaw Gibbs, we view payroll as the heartbeat of any people-powered organisation, and when managed with precision, it multiplies the value of every other service we provide.

Risk Management

Payroll touches every employee, every month. A small error or misclassification can trigger a cascade of penalties—penalties that can cripple cash flow and erode trust. For many of our clients, the payroll function is the most significant ongoing financial obligation they face. Our approach treats payroll as a compliance and risk management challenge, supported by a proactive, end-to-end control framework.

We monitor tax codes, National Insurance contributions, student loan deductions, pensions, and status changes with a governance mindset: audits, checks, reconciliations, and independent verification. By embedding robust controls, we reduce the likelihood of costly errors, late submissions, and penalties, while ensuring the business remains compliant with evolving regulations. This is not an add-on; it is risk management in its most tangible form.

Payroll as a lever for efficiency and cost control.

Payroll is a recurring process, yet it is rarely optimised. We embed automation where it matters most: live data intake, streamlined validation, automated calculations for complex benefits, and seamless payroll processing. The result is shorter processing times, fewer manual interventions, and markedly lower risk of data drift. Beyond the mechanics, our payroll services are designed to align with a client’s financial calendar.

By synchronising payroll with cash flow forecasting, management accounts, and year-end reporting, we provide a clearer picture of labour costs, benefits, liabilities, and overall people expenses. Clients experience not only accuracy, but also predictability—an essential factor for strategic planning and informed investment decisions.

Payroll as a driver of employee engagement and retention.

People are a business’s most valuable asset, and payroll sits at the interface between a company and its people. When payroll is accurate, timely, and transparent, trust builds. We help clients create payroll communications that inform and reassure staff—about pay dates, deductions, benefits, and pension contributions—thereby reducing time spent answering questions and increasing staff confidence.

That has a measurable impact on engagement, induction experiences, and retention. In a tight labour market, a flawless payroll experience becomes a differentiator for employers seeking to attract and retain top talent.

Payroll as a data-driven strategic tool.

Payroll data is a treasure trove: headcount trends, cost per hire, overtime patterns, and the impact of different benefit programmes on total remuneration. Our approach is to extract insights from payroll data in a way that informs strategy. For example, by analysing seasonality in workload and pay, we can help clients forecast staffing needs with greater precision, optimise contractor use, and plan for peak periods without compromising service levels or employee satisfaction.

We pair payroll reporting with management accounts and KPI dashboards so leadership can see, in one view, how people costs relate to revenue, margins, and cash flow. Payroll stops being a financial afterthought and starts informing strategic decisions.

Payroll as a platform for scalability.

Our clients range from fast-growing mid-market firms to established enterprises where payroll complexity evolves rapidly. In every case, we design payroll solutions that scale. This means flexible services that can expand to accommodate multi-country payroll, pension schemes, benefits administration, and HR data integration.

It also means a partner mindset: we work alongside HR, finance, and IT to ensure seamless integration with HR systems, time and attendance, and other core platforms. Our goal is to create a payroll capability that grows with the client, rather than forcing the client to outgrow their systems or adopt something insufficient for future needs. That scalability is a force multiplier for the entire finance function.

The reassurance of expertise and compliance

Regulations around payroll are nuanced and ever-changing. We invest heavily in ongoing training, legislative updates, and specialised audits to ensure we stay ahead of changes—from automatic enrolment and pension contribution rules to payroll taxation and reporting obligations. Our clients don’t have to navigate these complexities alone. By providing experienced, proactive guidance, we reduce the risk of non-compliance and the associated penalties or reputational damage. That expertise becomes a true value-add, not a mere service.

Shaw Gibbs’ track record speaks for itself

Shaw Gibbs successfully migrated 1,500 clients within three months at the start of this tax year— a testament to our operational discipline and client-focused approach. That achievement was underpinned by strong project management, clear governance, and a payroll-first mindset across our service lines.

It demonstrated that a well-coordinated payroll function can accelerate induction, improve accuracy, and deliver immediate value, even in a high-volume environment. We apply those same principles to every client engagement: clarity of scope, transparent timelines, proactive risk management, and a relentless focus on outcomes.

Our philosophy

Payroll is people’s lives in motion. When you pay people correctly and on time, you support families, sustain livelihoods, and enable people to show up as their best selves for work. Our payroll services are designed with empathy and practicality—recognising that behind every payslip is a person, a role, and a contribution to a business’s success.

In practice, this means a few concrete commitments:

  • A dedicated payroll lead for every client, ensuring continuity and a deep understanding of unique requirements.
  • Transparent pricing and service levels, with no hidden assumptions and clear escalation paths.
  • Regular review cycles to optimise payroll configurations, benefit plans, and reporting outputs as client needs evolve.
  • Strong data protection, ensuring payroll information remains confidential and secure.

In conclusion, at Shaw Gibbs, payroll is not a peripheral service; it is a strategic, value-driving capability that underpins compliance, efficiency, employee engagement, and strategic decision-making.

By treating payroll as an integral part of our accountancy services, we empower clients to manage people costs with confidence, scale with ambition, and focus resources on growth. That is the payroll advantage we bring to every client—and it is why we view payroll as critical and valuable, not merely an add-on.

 

If you have any questions about payroll or would like more information, please reach out to your regular Shaw Gibbs contact or get in touch with us via info[@]shawgibbs.com.

 

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Need expert advice?

Speak to an expert for advice on
+44-1865 292200 or get in touch online to find out how Shaw Gibbs can help you

Email
info@shawgibbs.com

What our clients say

  • I have been a client of Shaw Gibbs since the 1960's and have always found a professional but friendly response from the partners or staff

    I have been a client of Shaw Gibbs since the 1960's and have always found a professional but friendly response from the partners or staff

    Richard Preston

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    Experience, expertise and support was not only invaluable from a financing perspective, but also in assisting us to determine the future strategy.

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    Shaw Gibbs’ service provides timely expertise at a reasonable cost

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