Coconut is a mobile-first accounting app built specifically for UK sole traders and landlords. The single most important thing to know about it: it is a focused bookkeeping-and-tax tool, not a full accounting suite — it handles MTD quarterly updates to HMRC without charging you for features you’ll never use.
This review is written for UK freelancers and sole traders. Prices below are Coconut’s published UK prices, checked against getcoconut.com in October 2026. We saw a 20%-off promo banner on the pricing page in October 2026 (discount code by email after sign-up) — promos come and go, so budget from the full rate.
How much does Coconut cost?
| Plan | Price | The short version |
|---|---|---|
| MTD Bridging | £49.99/year | Annual only — keep your spreadsheet, submit MTD quarterly updates to HMRC |
| Bookkeeping | £99.99/year | Annual only — automatic income/expense tracking, unlimited invoices, Self Assessment prep |
| MTD filing | £12.99/month or £129.99/year | The main plan: bookkeeping plus quarterly MTD updates sent to HMRC, with the year-end MTD submission included |
There is no permanent free tier — older reviews mentioning one are out of date. You get a 14-day free trial with no card details required. On the Bookkeeping plan, filing your Self Assessment directly to HMRC is a £29.99 add-on; on the MTD Bridging plan, the year-end MTD Annual Submission costs £49.99 as an add-on when required (it’s included in MTD filing).
The cheapest route to full Coconut is the Zempler offer: open a Zempler bank account from inside the Coconut app and Coconut is free for two years. That is a real saving, but only if a new bank account is something you actually want.
Who is Coconut for?
- Sole traders with simple books — one income stream, straightforward expenses — who want MTD compliance on their phone.
- CIS subcontractors and landlords, the groups Coconut is explicitly designed around.
- Anyone caught by the £30,000 MTD for Income Tax threshold who doesn’t want to pay £19+/month for a full accounting package.
- Spreadsheet keepers — the £49.99/year Bridging plan is one of the cheapest ways to stay MTD-compliant without giving up your spreadsheet.
Who should skip it: if you run a limited company, are VAT-registered and want VAT filing inside the app, need payroll, or invoice in multiple currencies — Coconut doesn’t serve any of those.
What are the cheaper or free alternatives?
- FreeAgent (£19/month + VAT, free with an eligible NatWest, RBS, Ulster Bank or Mettle business account) — the full package: MTD VAT filing, Self Assessment filed to HMRC, and an accountant-friendly platform. Full review: /directory/freeagent-review/.
- QuickBooks Sole Trader Plus (£10/month + VAT) — cheaper than Coconut’s MTD filing and handles Self Assessment prep. Full review: /directory/quickbooks-review/.
- Xero Simple (£7/month) — cheap, but no MTD filing on that tier; you need Ignite at £18/month. Full review: /directory/xero-review/.
- Pandle (from £5/month) and Clear Books (free core tier) — genuinely cheap, HMRC-recognised options for simple sole traders. Check their current feature lists before relying on them for MTD.
What are the honest drawbacks?
- No free tier. The old free plan is gone — after the 14-day trial you’re paying, unless you commit to a new Zempler bank account for the 2-year deal.
- Annual-only on two of three plans. MTD Bridging and Bookkeeping have no monthly option, so you pay £49.99 or £99.99 upfront. Only MTD filing offers monthly billing, which matters if your cash flow is lumpy.
- Self Assessment filing costs extra on Bookkeeping. It’s £29.99 on top — the one tax return every sole trader must file, not included.
- No payroll, no multi-currency, limited integrations. It does the sole-trader basics well and almost nothing beyond them; a growing business will outgrow it.
- Sole traders and landlords only. Limited companies, partnerships, and VAT-registered businesses needing in-app VAT filing need to look elsewhere.
- Smaller ecosystem than the big platforms. Accountants are less likely to already work in Coconut, and there are fewer integrations to bolt on later.
Verdict
Coconut is the right buy when your books are simple and you want MTD handled on your phone for around £13 a month. If you need anything beyond basic sole-trader bookkeeping — payroll, an accountant in the same system, multi-currency — pay a little more for FreeAgent or Xero instead.
This is general information, not financial advice. If the amount is large or the situation is disputed, get proper professional advice. Prices change — check Coconut’s current UK pricing before you commit.