Xero vs QuickBooks Online
Verified ratings, real UK pricing and the compliance detail, weighed side by side — with a written verdict at the end.
Xero
Accounting Software
- United Kingdom
- Ireland
- New Zealand
- Australia
- United States
- Canada
- South Africa
- Live Chat
- Knowledge Base
- Forum
QuickBooks Online
Accounting Software
- United Kingdom
- Ireland
- United States
- Canada
- Australia
- Phone
- Live Chat
- Knowledge Base
- Forum
Evenly matched on verified reviews — 4.1 against 4.1. Price and fit will decide this one, not the score.
The short version
What each one costs and how each one rates, side by side. Only the rows where leading means something are marked; vendor and availability are in the overview above.
| Detail | Xero | QuickBooks Online |
|---|---|---|
| What it costs | ||
| Starting priceLowest paid tier, excluding VAT | £16/mo | £14.33/mo |
| Free version | NoNo | NoNo |
| Free trial | YesYes | YesYes |
| How it rates | ||
| Overall ratingMean of verified Assaylist reviews | 4.1 | 4.1 |
| Verified reviewsVolume is evidence, not a score — this row is not a contest | 297 reviews | 262 reviews |
Highlighted where one clearly leads. Rows without a highlight are not a contest.
How reviewers score them
Across the four dimensions we ask every reviewer about — and, below, the star split each average is built from.
- Xero
- QuickBooks Online
| Dimension | Xero | QuickBooks Online | Gap |
|---|---|---|---|
| Ease of use | 4.0 | 4.0 | Level |
| Value for money | 4.0 | 4.0 | Level |
| Customer support | 3.9 | 4.0 | 0.1 to QuickBooks Online |
| Functionality | 4.0 | 4.0 | Level |
What each average is made of
Two products can share an average and not share a reputation. These bars show the star split behind each score.
| Product | 5 star | 4 star | 3 star | 2 star | 1 star |
|---|---|---|---|---|---|
| Xero | 42% (125 reviews) | 34% (100 reviews) | 15% (45 reviews) | 6% (18 reviews) | 3% (9 reviews) |
| QuickBooks Online | 44% (115 reviews) | 35% (93 reviews) | 13% (34 reviews) | 6% (17 reviews) | 1% (3 reviews) |
Feature by feature
Everything either vendor publishes, split into what separates them and what they share.
- Both products
- 313%
- Only Xero
- 939%
- Only QuickBooks Online
- 1148%
23 features listed across both products.
What only one of them does
Xero
9- Best in class bank reconciliation
- Cash flow forecasting
- CIS calculations and subcontractor reports
- Industry benchmarking
+ 5 more in the table below
QuickBooks Online
11- Automated bank feeds
- Batch invoicing
- Budgets
- Calculate and submit CIS
+ 7 more in the table below
Showing 23 of 23 features
| Detail | Xero | QuickBooks Online |
|---|---|---|
| Where they differ · 20 | ||
| Best in class bank reconciliation | YesYes | NoNo |
| Cash flow forecasting | YesYes | NoNo |
| CIS calculations and subcontractor reports | YesYes | NoNo |
| Industry benchmarking | YesYes | NoNo |
| Payroll with RTI and auto enrolment | YesYes | NoNo |
| Performance dashboards | YesYes | NoNo |
| Smart document capture | YesYes | NoNo |
| Unlimited users on every tier | YesYes | NoNo |
| Very large app marketplace | YesYes | NoNo |
| Automated bank feeds | NoNo | YesYes |
| Batch invoicing | NoNo | YesYes |
| Budgets | NoNo | YesYes |
| Calculate and submit CIS | NoNo | YesYes |
| Class and location tracking | NoNo | YesYes |
| Custom reporting | NoNo | YesYes |
| Inventory management | NoNo | YesYes |
| Project profitability tracking | NoNo | YesYes |
| Receipt capture and mileage tracking | NoNo | YesYes |
| Role based access control | NoNo | YesYes |
| Workflow automation | NoNo | YesYes |
| Where they match · 3 | ||
| Making Tax Digital for VAT | YesYes | YesYes |
| MTD for Income Tax ready | YesYes | YesYes |
| Multiple currencies | YesYes | YesYes |
A dash means the vendor has not published a feature list — which is not the same as the feature being unavailable.
How they handle UK obligations
Checked against the vendor's own documentation or HMRC's published list. A dash means we have not verified it — never that it is missing.
| Detail | Xero | QuickBooks Online |
|---|---|---|
| Verified against vendor documentation | ||
| HMRC-recognised for MTD for VAT | YesYes | YesYes |
| HMRC-recognised for MTD for ITSA | YesYes | YesYes |
| Making Tax Digital ready | YesYes | YesYes |
| RTI-compliant payroll | YesYes | Not listedNot listed |
| Pension auto-enrolment | YesYes | Not listedNot listed |
| CIS support | YesYes | YesYes |
| Open Banking bank feeds | YesYes | YesYes |
| UK-based support | UK support team | Telephone and chat support |
What each tier costs
Both line-ups on one ladder, so the middle tier on one side sits next to the middle tier on the other.
Xero
QuickBooks Online
Ignite
£16/mo
- Send quotes and 20 invoices
- Enter 10 bills
- Submit VAT returns to HMRC
Simple Start
£14.33/moLower
- 1 user plus accountant
- Making Tax Digital for VAT
- Calculate and submit CIS
Grow
£37/mo
- Unlimited invoices and quotes
- Automate bill entry
- Payroll for 1 person
Essentials
£34.20/moLower
- 3 users plus accountant
- Multiple currencies
- Employee time tracking
Comprehensive
£50/moLower
- Payroll for 5 people
- 90 day cash flow forecast
- Expenses for 5 users
Plus
£50.40/mo
- 5 users plus accountant
- Inventory management
- Budgets
Rungs are matched by position in each vendor’s own line-up, not by what the tiers include — an entry plan on one side may cover more than the other. Prices exclude VAT unless stated, and per-seat plans are quoted per seat. Always confirm on the vendor’s own site.
Which should you choose?
Two answers, because there are two right ones depending on what you need.
Choose Xero if
- It lists 9 features QuickBooks Online does not, including best in class bank reconciliation.
- It covers more of the UK obligations we check — 7 of them against 5.
Choose QuickBooks Online if
- It costs less to get started — £14.33/mo against £16/mo.
- It lists 11 features Xero does not, including automated bank feeds.
The two market leaders are very close. Xero leads on bank reconciliation, unlimited users and the app marketplace, while QuickBooks Online leads on automated categorisation and includes CIS from the entry tier. Compare them on the renewal price rather than the introductory discount, and on whether you need payroll included.
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