The UK’s finance leaders are stressed and overworked, with over half (56%) working at least six extra, non-contracted hours a month.

This is according to new research* which gathered insights from over 1,000 mid-market finance decision-makers on the current state of their accounting function.

Alarmingly, most finance leaders admit they are over-worked in some capacity. 93% say they work more hours than they are contracted to, and almost a third (32%) claim these hours rack up to one extra day a month, unpaid.

The report also highlights several wellbeing challenges within the sector. Four in five (82%) finance leaders say they feel stressed out at work, with 40% feeling stressed most of the time and 42% feeling stressed often.

The sector’s stress drivers

Finance leaders are feeling the strain of talent shortages and budget pressures. A lack of staff resources to meet their organisations’ needs is cited as their top reason for stress (28%).

This is followed by managing budget constraints for the wider organisation (27%) and the excessive amount of time it takes to create reports (24%), such as audits or year-end accounts.

Other sources of day-to-day stress include team management (24%), fraud and security threats (19%) and reporting upwards to senior leadership or the board (17%).

Finance leaders feel the responsibility largely lies with employers to safeguard their teams from stress and create more positive work environments.

Becky Glover, Finance Director and Board Member at Yutree Insurance adds: “Employers are ultimately responsible for ensuring staff are happy at work and that their wellbeing isn’t suffering because of their workload. In my view, this boils down to having open communication and, sadly, there is still a stigma when it comes to talking about stress in the workplace. Especially for those in senior positions that feel they should be taking on the brunt of the stress for the team. Luckily, the new generation entering the workforce appear to be more comfortable talking about stress and are more aware of its far-reaching negative effects.”

Labour’s Right to Switch Off, part of the new Employment Rights Bill expected to come into effect in 2026, seeks to improve work life balance and conditions for UK workers. However, finance leaders don’t see this as enough.

“Stress doesn’t always stem exclusively from working long hours and overtime”, Glover adds. “It is often the result of the day-to-day pressures of a finance role.”

“There is a talent shortage in Accounting and Finance that we need to address urgently, and embracing technology will be key. The younger generation is used to using technology in day-to-day life, and if a workplace isn’t tech-forward, it will fail to attract, retain and upskill these candidates.”

Olivia McMillan, Chief Operations Officer at iplicit adds: “While it’s concerning to see high levels of stress impacting UK finance leaders, finance transformation offers hope for the future. Our research shows that month end accounts are taking as long as four weeks for some SMEs, and this is largely down to clunky, outdated tech. By adopting more efficient solutions that automate and streamline key processes, from accounts payable (AP) to month-end reporting, finance leaders can win back the valuable time they lose every month to manual processes and troublesome spreadsheets.”

“Improved morale for finance teams, and the promise of new, modern systems, will no doubt make it much easier for businesses to recruit the next generation of finance leaders. These leaders can then move from being reactive responders to strategic enablers, focusing on upskilling in other key areas such as environmental, social and governance (ESG), as well as future-proofing their business.”

*Research from iplicit –  full report here.