Accountant in Portsmouth
Portsmouth's economy is anchored by marine defence, advanced manufacturing, and a growing tech sector, with over 208,000 residents and a business base shaped by the naval dockyard and waterfront regeneration.
Photo: Charles Miller / Pexels
Why we work with Portsmouth businesses
Portsmouth businesses operate in a distinctive coastal economy where marine defence, tech, and tourism intersect. We work with limited company directors, contractors, and small business owners across Old Portsmouth, Gunwharf Quays, Southsea, and Port Solent. Our ICAEW-qualified team offers remote-first support with in-person meetings on request, giving local firms access to specialist corporation tax, VAT, and R&D credit advice without the overhead of a city-centre office. The local mix of defence contractors, engineering firms, and hospitality operators demands a pragmatic, sector-aware approach.
The Portsmouth business scene
Portsmouth's economy is dominated by the naval base and BAE Systems, which together employ thousands in shipbuilding, maintenance, and defence support. The city has diversified into tech and engineering, with IBM's Hursley campus nearby and QinetiQ's testing facilities driving specialist R&D. Pall Europe's filtration manufacturing adds to the advanced manufacturing base. Southsea's retail and leisure strip, along with Gunwharf Quays' outlet shopping and waterfront bars, anchors a significant tourism and hospitality sector. Old Portsmouth retains a cluster of marine and professional services firms, while Port Solent's marina and business park host a mix of tech startups and marine engineering consultancies. The city's compact geography means business districts are tightly linked, but each has a distinct sectoral character.
Business hubs in Portsmouth
Old Portsmouth · Gunwharf Quays · Southsea · Port Solent
How Portsmouth's economic mix shapes our service emphasis
Portsmouth's sector mix shapes how we structure our advice. A marine defence subcontractor in Old Portsmouth might come to us for capital allowances on specialist welding equipment and dockyard leasehold improvements, while a Southsea-based tech startup building maritime software often needs R&D claim preparation for software development costs. We have helped a QinetiQ spin-out with patent box relief and international tax structuring. Tourism and hospitality operators around Gunwharf Quays and Southsea seafront frequently require VAT partial exemption calculations and payroll for seasonal staff. Manufacturing clients in the city's northern industrial estates, including those supplying Pall Europe, prioritise corporation tax planning on plant and machinery allowances. Our ICAEW background means we can navigate HMRC's sector-specific enquiries, whether that's the complex rules around defence R&D or the flat-rate VAT treatment for caterers and hotels. We tailor our service to the local economic reality, not a generic template.
Anchor employers in Portsmouth
BAE Systems · Royal Navy · IBM (Hursley) · Pall Europe · QinetiQ
What we do for Portsmouth businesses
Tax planning
Salary and dividend extraction, corporation tax, R&D credits, BADR planning.
Management accounts
Monthly P&L, cash flow forecasting, KPI dashboards.
Payroll & PAYE
Director payroll, employee payroll, P11D benefits, RTI submissions.
Incorporation & structure
Sole trader to limited, holding companies, alphabet shares.
MTD & VAT
Making Tax Digital ITSA and VAT compliance, scheme selection.
Exit planning
BADR, MBOs, earn-outs, goodwill valuation, due diligence support.
Portsmouth case study (anonymised)
£14,720 R&D tax credit recovered on autonomous vessel software
8-employee marine engineering firm
A Portsmouth-based marine engineering firm developing autonomous navigation software for small survey vessels approached us after a previous accountant had missed R&D relief opportunities. The directors, based in a Port Solent business unit, were unsure whether software development for defence-adjacent projects qualified. We reviewed their project records, identified qualifying R&D activity in sensor integration and collision-avoidance algorithms, and prepared a compliant claim. HMRC accepted the full £14,720 credit, which the directors reinvested into hiring a junior developer. The firm now uses our quarterly VAT and payroll service, and we continue to advise on capital allowances for their test-tank equipment.
Frequently asked questions from Portsmouth
- Do you have an office in Portsmouth?
- We are a remote-first firm, so we do not maintain a permanent Portsmouth office. We meet clients in person on request at their premises or at a central location such as a Gunwharf Quays coffee shop or Southsea business centre. Most of our Portsmouth clients prefer video calls for routine matters.
- How do you handle R&D tax credits for a defence subcontractor in Old Portsmouth?
- Defence R&D claims require careful handling due to HMRC's restrictions on subsidised projects and security-related exclusions. We work with your technical team to identify qualifying activity, document the technological uncertainty, and exclude any grant-funded or client-subsidised work. We have successfully claimed for firms developing naval simulation software and composite materials for BAE Systems.
- What is the typical cost for a limited company year-end accounts and tax return?
- For a straightforward Portsmouth-based limited company with one director and basic transactions, our fixed fee starts at £1,200 plus VAT. This includes the annual accounts, corporation tax return, and a review meeting. Prices vary for businesses with payroll, multiple directors, or complex stock and work in progress, such as marine engineering or manufacturing firms.
- Can you help with VAT for a Southsea restaurant that also does takeaway and event catering?
- Yes. Hospitality businesses in Portsmouth often need help with VAT partial exemption and the correct treatment of takeaway versus sit-in meals. We can review your sales mix, advise on the 12.5% reduced rate for hot takeaway food, and ensure your VAT returns reflect the correct liability. We also handle payroll for seasonal staff common in the tourism sector.
Speak to an accountant in Portsmouth
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