In a profession that is rapidly evolving due to artificial intelligence, cloud integration, and heightened client expectations for deeper insights, accounting firms worldwide are moving beyond tactical responses to embrace strategic transformation, according to a new report from Wolters Kluwer Tax & Accounting.
“Advisory services are becoming essential. Talent strategies are maturing. Investment in technology, particularly AI and automation, is accelerating. These shifts aren’t just operational. They signal a broader redefinition of firm purpose, long-term strategy, and client engagement models that drive meaningful results,” Jason Marx, CEO of Wolters Kluwer Tax & Accounting, said in the global report, Future Ready Accountant. “Whether navigating regulatory complexity, scaling through M&A, evolving service models, or responding to generational shifts in the workforce, one theme holds true: future-ready firms are those that adapt with clarity, confidence, and intent.”
Artificial intelligence
This year’s Future Ready Accountant report marks a significant evolution in the global accounting landscape compared to Wolters Kluwer Tax & Accounting’s inaugural report in 2024. This year, AI adoption has surged—rising from 9% in 2024 to 41% in 2025—indicating a shift from cautious experimentation to confident integration across firm operations. This year’s findings show that 77% of accounting firms plan to increase AI investment, with 35% already using it daily. Firms are embedding AI into workflows to enhance client service and engagement models, automate tasks, and generate strategic insights.
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“AI is redefining how professionals access and apply authoritative knowledge,” Marx said. “Built on a responsible framework, AI delivers transparent, source-linked insights while rigorously safeguarding user data. This year’s report shows that AI adoption has more than quadrupled globally, signaling a shift from experimentation to operational reliance. Firms leveraging AI are working faster, with greater precision and confidence, transforming how strategic decisions are made and how client value is delivered.”
Advisory services
In addition, the report found that advisory services have become nearly universal, with 93% of firms worldwide offering them—up from 83% in 2024. The emphasis has moved from simply expanding offerings to using AI and data to personalize and scale client advisory. The report stresses that advisory services have become a client expectation.
“Advisory services are no longer optional; 94% of U.S. firms offer advisory or consulting services, and 63% consider them a key service,” the report says. “Almost 90% of firms use client data to uncover advisory opportunities, and proactive contact is common, with 69% reaching out to clients at least monthly. Meanwhile, firms are using predictive models and alerts to help provide the personalized, strategic guidance that advisory clients need.”
Talent strategies
Talent strategies have matured as well—while last year’s focus was on attracting and retaining skilled professionals, this year firms are prioritizing enablement, with 31% citing advanced technical skill development as a top staffing challenge, up from 27% last year.
Staff expectations for better technology tools also surged (29%, up from 19%). Meanwhile, attracting and retaining skilled professionals dropped more than 10 points year over year, signaling a shift from short-term recruitment to long-term transformation.
Specifically in the U.S., the report says, “[F]irms are recognizing that staff experience is client experience. Excessive manual work, burnout, and lack of flexibility are no longer viewed solely as HR issues; they are business risks. Only 54% of firms say staff perform ‘very little unnecessary manual data entry,’ highlighting the persistent burden of outdated processes.
“Firms that treat people as strategic assets will be best positioned to succeed,” the report continues. “In the past three years, nearly half invested in professional development and training, and more than one-third hired new staff. Even more plan to do so in the year ahead, emphasizing training in professional skills and emerging technologies. The firms that thrive will build cultures of learning, empowerment, and adaptability to create workplaces built to evolve with the profession.”
Cloud adoption and tech integration
Cloud adoption and technology integration continue to drive growth. In 2024, 62% of firms worldwide used cloud technology and those with high integration saw 78% revenue growth. In 2025, 52% of firms expanded cloud-based solutions, and 87% of those with highly integrated systems reported revenue growth. The evolution toward digital maturity is now seen as an enabler of innovation, resilience, and long-term success, the report says.
“As firms aim to streamline workflows, enable secure collaboration, and lay the groundwork for automation and AI, they continue to leverage cloud technology to achieve these goals,” the report states. “Currently, 81% of U.S. firms are at least partially in the cloud, with hybrid technology stacks being the preferred choice. As firms look to the future, cloud maturity is essential for advanced capabilities like predictive analytics and intelligent workflow optimization.”
On tech integration, the report says, “Integrated tech stacks are redefining how firms operate by streamlining workflows, reducing manual errors, and unlocking firm intelligence. Only 14% of high-growth firms report low tech stack integration (less than 25%), compared to 21% of all firms. Meanwhile, 19% of high-growth firms have connected 75% or more of their systems. This deep integration allows them to respond quickly to change and deliver more consistent, data-informed service. Firms continue to prioritize simplifying complexity, with 73% citing system integration for workflow optimization as a highly valuable tech feature. Seamless connectivity is no longer a luxury; it’s a strategic imperative that fuels efficiency and intelligence.”
Report takeaways
Key findings from the second edition of the Future Ready Accountant report include:
Growth and profitability surge
- Revenue growth: 83% of firms globally reported increased revenue, up from 72% in 2024.
- Profitability: 79% of firms saw improved profitability, up from 74% last year.
- This momentum is consistent across regions: Asia Pacific (84%), North America (84%), and Europe (80%). Nearly one in four firms qualify as high growth (10%-plus revenue growth), demonstrating that high performance is not limited by scale.
AI as a core capability
- AI adoption: AI usage has more than quadrupled in one year, rising from 9% to 41%.
- Routine use: 72% of firms now use AI at least weekly, with 35% using it daily.
- Investment: 77% of firms plan to increase AI investments over the next three years. Among large firms, 40% are targeting double-digit growth in AI spend.
- Impact: 73% of regular AI users report better-than-expected results, especially in client service, financial insights, and efficiency.
Advisory-first engagement
- Advisory services: 93% of firms now offer advisory services (up from 83% in 2024), with nearly half planning to expand offerings in the next year.
- Client demand: 35% of clients are asking firms to provide strategic business advice.
- Data driven: 87% of firms use client data to uncover and tailor advisory opportunities. AI is enhancing advisory delivery, with 41% of high-growth firms reporting better-than-expected results from AI in improving client guidance.
Cloud and automation are the new normal
- Cloud solutions: 52% of firms adopted or expanded cloud-based solutions.
- Workflow automation: 47% plan to increase workflow automation and enhance digital communication with clients.
- Integration: 87% of professionals whose technology is highly integrated (at least 75%) experienced revenue growth.
Staffing and future of work
- Talent strategy: Firms are shifting from reactive hiring to strategic enablement, investing in flexibility, automation, and skill-building.
- Technical skills: 31% of firms globally cited developing advanced technical skills as a top staffing challenge, up from 27% last year.
- Staff demand: Staff expectations for better technology tools surged to 29%, a 10-point increase over last year.
Private equity and M&A trends in the last three years
- Mergers: 26% of firms report having merged with another firm.
- Private equity: 32% received private equity investment.
- Acquisitions: 27% acquired a firm.
“Tech-forward and cloud-based firms are driving this movement. These innovators are significantly more likely than their peers to pursue private equity, acquisitions, or strategic alliances, reflecting a greater appetite for transformative growth,” the report says. “While 45% of firms list private equity or third-party investment as a preferred approach, 28% have no interest, with resistance strongest in Europe (31%) and North America (30%). These figures highlight a growing divide: for many, investment is now mainstream, but it’s not a universal strategy.”
The Future Ready Accountant survey received validated responses from 2,768 tax and accounting professionals from firms of all sizes worldwide. The survey was conducted online for Wolters Kluwer by Dynata, an international research organization, from April 23 to May 27, 2025.
Photo credit: Alex Cristi/iStock
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