Industry benchmark · London, GB · 2026-09-14

Which vendors do AI assistants recommend for payroll software for uk small businesses?

Employment Hero is named in 63% of answers — the assistants have a settled reply for payroll software for uk small businesses.

Entrenched

8 unbranded buyer questions, put to ChatGPT, Claude, Gemini and Perplexity with web search on, from London, GB, on 2026-09-14. 32 answers were read; every vendor claim below carries a quote from the answer it came from.

Share of answers

VendorNamed inCredited with
1. Employment Hero20 of 32 (63%)Hmrc-recognised; free; cloud-based
2. Moneysoft Payroll Manager18 of 32 (56%)Hmrc-recognised; annual licence model, not per employee; good for fluctuating headcount
3. BrightPay17 of 32 (53%)Long-time tool of choice for uk accounting practices running payroll across multiple clients; moving to cloud-first model for 2026/27; dedicated payroll system loved by accountants
4. Xero Payroll17 of 32 (53%)Hmrc-recognised; sends data to nest or the people's pension; integrates with xero bookkeeping
5. QuickBooks Payroll12 of 32 (38%)Simplest starting point if already using quickbooks; low-cost add-ons; popular paid option
6. PayFit12 of 32 (38%)All-in-one payroll, time-off, expenses, onboarding; clean ui, automates complex calculations; hmrc submissions
7. HMRC Basic PAYE Tools11 of 32 (34%)Free; hmrc-recognised; for businesses with fewer than 10 employees
8. Moorepay9 of 32 (28%)Outsourced fully managed payroll service; preferred choice for uk smes needing compliance, accuracy and support; software or managed service
9. Sage Payroll8 of 32 (25%)Top recommendation for most 10-employee businesses; value-for-money; easy-to-use dashboard
10. ADP7 of 32 (22%)Designed for larger enterprises; high security; full uk tax compliance
11. FreeAgent6 of 32 (19%)Free with natwest/rbs/ulster bank/mettle accounts; native hmrc-recognised payroll; rti submission
12. Zellis6 of 32 (19%)Popular paid option; leading outsourced payroll provider in uk and ireland; comprehensive outsourced managed payroll operation

The questions

  1. What is the best payroll software for a UK small business with 10 employees?
  2. Which UK payroll software is HMRC-recognised and handles RTI submissions?
  3. What payroll software handles auto-enrolment pensions for a UK employer?
  4. Which payroll tools integrate with Xero or QuickBooks in the UK?
  5. What is the cheapest payroll software for a UK company with one director?
  6. Which UK payroll software produces P60s and P11Ds automatically?
  7. What payroll platforms are suitable for UK businesses with hourly-paid staff and rotas?
  8. Which UK payroll providers offer a fully managed service rather than software?

In the assistants' words

“Employment Hero Free Payroll: HMRC‑recognised “100% free” payroll that auto‑submits RTI and handles PAYE/NI; good if you want zero software cost and basic HR tools.”

ChatGPT · Q1on Employment Hero

“Employment Hero Free Payroll”

ChatGPT · Q2on Employment Hero

“The annual licence model is a key differentiator — you pay once per year, not per employee, which for businesses with fluctuating headcount gives genuine budget value.”

Claude · Q1on Moneysoft Payroll Manager

“**Best budget option:** **Moneysoft** — cheaper for some small teams, with one guide citing about **£95 per year** for 10 employees.”

Perplexity · Q1on Moneysoft Payroll Manager

“This has long been the tool of choice for UK accounting practices running payroll across multiple clients, though note for the 2026/27 tax year it's moving away from its desktop product to a cloud-first model.”

Claude · Q1on BrightPay

“**BrightPay (Cloud)**”

Gemini · Q1on BrightPay

“**Xero Payroll** or **QuickBooks Payroll**”

Gemini · Q1on Xero Payroll

“**Best if you already use accounting software:** **Xero Payroll** or **QuickBooks Payroll** — these make most sense if you already run your accounts on those platforms.”

Perplexity · Q1on Xero Payroll

“If you use QuickBooks, QuickBooks Payroll is the simplest starting point.”

Claude · Q1on QuickBooks Payroll

“QuickBooks (Intuit)”

ChatGPT · Q2on QuickBooks Payroll

Read this carefully

Share is the share of answers naming the vendor; that's recall. It is not citation, not market share, and not a recommendation from us. A sample of 32 answers on one day. Engines change. 28 extracted claims were dropped because the quote could not be found in the frozen answer — that drop count is published on purpose. Engines: claude-sonnet-5, gemini-3.6-flash, gpt-5, sonar. Method: methodology.

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