BrightPay Payroll Alternatives: 2026 UK Comparison Guide

BrightPay is one of the most popular UK payroll packages, with a desktop product and a connected cloud version. It is well-regarded — but it is not always the right fit, particularly for businesses that want cloud-first workflows, integrated bookkeeping, or who simply want to hand payroll over entirely. This guide compares the leading BrightPay alternatives for UK payroll in 2026 and helps you decide whether to switch software or outsource.

What BrightPay does well — and the gaps

Strengths:

• Strong UK payroll engine, well-trusted by accountants.
• Includes auto-enrolment pension functionality at modest cost.
• Per-employer pricing rather than per-payslip, good for accounting practices.
• Good HMRC RTI compliance and decent reporting.

Common reasons people look for alternatives:

• The classic desktop product, while solid, is not a fully cloud-native experience — collaboration and remote working can be clunky.
• Connect Cloud (BrightPay’s cloud platform) is improving but still feels bolted on to a desktop product.
• Integration with accounting software is functional but less seamless than native cloud-to-cloud products.
• Larger employers (50+ employees) often outgrow the SME proposition and want HR features.

The main alternatives

1. Xero Payroll

Best for: Limited companies already using Xero for accounting.

Native payroll inside Xero. Pension scheme integrations (NEST, The People’s Pension and others), automatic RTI, decent self-service for employees. Pricing is per employee per month on top of Xero subscription.

• Pros: Fully integrated with accounts, one login, clean UI.
• Cons: Less powerful than dedicated payroll for complex pay structures (commission, multiple shift patterns).
• Pricing (2026): From £6/month for 1–5 employees, scaling up.

2. QuickBooks Payroll

Best for: Smaller businesses using QuickBooks Online.

Standard and Advanced tiers. Advanced includes HR features and pension auto-enrolment. Integrated with QuickBooks’ bookkeeping, so journal posting is automatic.

• Pros: Cheap entry-level, tight integration with QB Online.
• Cons: UK feature set has historically lagged its US version.
• Pricing (2026): From £4/month + £1/employee.

3. Sage Payroll (Sage 50 Payroll & Sage Business Cloud Payroll)

Best for: Established SMEs and accounting practices used to Sage.

Two products — the on-premise Sage 50 Payroll for established practices, and Sage Business Cloud Payroll for newer cloud workflows. Robust feature set, strong on compliance, used widely by bureaux.

• Pros: Mature, trusted, handles complex pay structures.
• Cons: UI feels dated compared with newer cloud-native alternatives.
• Pricing (2026): Cloud Payroll from around £8/month for up to 5 employees.

4. Moneysoft Payroll Manager

Best for: Accounting practices running many small employer payrolls cheaply.

Desktop product with a fixed annual fee per employer rather than per employee. Widely used by accountants for very small employers (often single-director limited companies).

• Pros: Very low cost per employer, simple, reliable.
• Cons: Desktop only, not collaborative.
• Pricing (2026): Around £80/year for a single payroll, £165/year for up to 20 employers.

5. Staffology Payroll (IRIS)

Best for: Accountants and bureaux wanting a modern cloud platform.

Cloud-native, API-friendly, designed for the bureau market. Acquired by IRIS, now positioned alongside their other accountancy products.

• Pros: Modern, fully cloud, strong API.
• Cons: Less consumer-friendly than Xero/QB; pricing better suited to multi-employer bureaux.
• Pricing (2026): Tiered, bespoke for bureaux.

6. Moorepay / IRIS Payroll Services / Outsourced bureaux

Best for: Businesses that want to hand over payroll entirely.

Not software — managed payroll services. You send hours and changes; the bureau runs the payroll, produces payslips, submits RTI, manages pensions and handles HMRC correspondence.

• Pros: Off your plate entirely, expert handling of edge cases, reduces risk.
• Cons: Less flexibility for last-minute changes, monthly cost higher than DIY software.
• Pricing (2026): From around £4–£8 per payslip per month, with minimums.

At-a-glance comparison

Product	Cloud-native	Best for	Auto-enrolment	Indicative monthly cost
BrightPay	Hybrid (desktop + Connect)	Accountants, SMEs	Yes (add-on)	From £15/mo per employer
Xero Payroll	Yes	Xero users	Yes	£6+ per month
QuickBooks Payroll	Yes	QB Online users	Yes (Advanced tier)	£4+ per month
Sage Business Cloud Payroll	Yes	Established SMEs	Yes	£8+ per month
Moneysoft	No (desktop)	Practice bureaux, very small employers	Yes	£80/year
Staffology	Yes	Bureaux and accountants	Yes	Bespoke
Moorepay/outsourced	N/A — service	Hands-off payroll	Yes	£4–8 per payslip

Software vs outsourced payroll: the real question

For most small businesses the question is not “BrightPay vs Xero” — it is “do I want to run my own payroll at all?”.

Run it yourself if:

• You enjoy operational detail and have time each pay period.
• Your payroll is simple (small team, few changes, no commissions).
• You already use accounting software with built-in payroll.

Outsource if:

• You have more than 5 employees and any complexity (overtime, commission, pensions, varied hours).
• You want zero stress at year-end (P60s, P11Ds, payroll year-end submissions).
• You want a clear separation of duty for compliance.
• You have grown to a size where time saved is worth more than the bureau fee.

Switching payroll provider mid-year

Switching mid-year is possible but requires care:

1. Pick a clean cutover date — usually month or quarter end.
2. Export year-to-date figures from the old system for every employee (gross pay, tax, NIC, pension, statutory payments).
3. Import into the new system as opening balances; double-check totals match.
4. Run a parallel pay run with the new system before going live, comparing every employee.
5. Tell HMRC if the PAYE scheme reference is moving providers (it usually isn’t — the scheme stays the same, just the software changes).
6. Tell the pension provider of any change in pension contribution submission source.

The most common mistakes are: missing year-to-date figures, duplicate RTI submissions and pension scheme miscommunication. Get help from your accountant for any switch involving more than a handful of employees.

How to choose: a decision framework

Use this ordered checklist:

1. What accounting software do you already use? If Xero/QuickBooks/Sage, look at their native payroll first — integration matters.
2. How many employees? Under 10: any of the above works. 10–50: prefer cloud-native software or outsourced. 50+: outsourced or larger HRIS payroll suite.
3. How much do you want to do yourself? Time honestly = total bureau costs justifying themselves often.
4. Any complexity? Multi-state pensions, salary sacrifice, statutory payments, RTI corrections, P11Ds — favour outsourced or higher-tier software.
5. Total cost of ownership. Add software + accountant fees + your own time. The cheapest software is rarely the cheapest overall.

FAQ

Is BrightPay still good in 2026? Yes — for accountants and SMEs comfortable with a hybrid desktop/cloud workflow, BrightPay remains one of the most reliable UK products. The main reason to switch is wanting a fully cloud-native product or moving to outsourced.

Can I run UK payroll on free software? HMRC’s Basic PAYE Tools is free but limited (no auto-enrolment, no payslips, no proper reporting). It is suitable only for very small employers with simple pay. For most businesses, paying £5–15/month for proper software is better value.

Does Xero Payroll handle UK auto-enrolment? Yes. Xero Payroll has integrations with NEST, The People’s Pension and other major providers, with automatic eligibility assessment and contribution calculation.

How much does outsourced payroll cost? Typically £4–£8 per payslip per month, with minimums. A 10-employee business might pay £50–£80/month for a fully managed service.

Can I switch to outsourced payroll mid-year? Yes, but plan for the cutover carefully (see above). Year-end is the cleanest switching point but mid-year is workable.

Get help with payroll

We provide outsourced payroll for SMEs and limited companies across the UK: monthly payroll runs, RTI submissions, auto-enrolment, P60s, P11Ds, and year-end. If you are considering switching from BrightPay or another package, we can review your setup and recommend the best route.

Read about our payroll services, book a free consultation, or read our guides on VAT registration and Making Tax Digital.

For HMRC’s view of compliant payroll software, see GOV.UK: payroll software.