Gary Neville, the former England footballer and Sky Sports commentator, is spearheading a new campaign to help sole traders comply with the upcoming Making Tax Digital (MTD) rules. New data from accounting software company Sage reveals that only around a third of sole traders are aware of the new HMRC tax rules taking effect this summer, raising concerns that hundreds of thousands could miss the deadline.
The research shows that seven in ten sole traders do not understand what they need to do as the government rolls out MTD, and only 37 per cent know that the first deadline is on August 7. Additionally, just 8 per cent are using software to manage their tax records, despite the new rules already being in force.
To raise awareness, Sage has teamed up with Neville to launch a campaign targeting sole traders in the construction industry. The initiative includes handing out 10,000 free high-visibility workwear items, such as jackets, polo shirts, and work trousers, to workers. Recipients will also gain access to Sage Sole Trader, the brand’s free MTD-compatible accounting software, designed to protect tradies both on and off the job.
Neville commented: “There’s already enough admin pressure on sole traders trying to run a business day to day. A lot of people still don’t realise these tax changes are coming, so this is about helping tradespeople get ready with the right support and tools before the deadline hits.”
Under the new rules, sole traders, including landlords, earning more than £50,000 must keep digital tax records and send quarterly updates using MTD-compatible software, along with a final end-of-year declaration. There are approximately 4.3 million sole traders in the UK.
Lisa Ewens, SVP Product, Small Business and Accountants at Sage, added: “Many sole traders are still unaware of how significant this change will be. Making Tax Digital is designed to modernise the tax system, but for many businesses the biggest challenge is simply knowing what they need to do next. We wanted to create a campaign that cuts through, helps sole traders understand what is needed from them and takes them to the places where they can get the support.”
Six Key Questions About Making Tax Digital
What is Making Tax Digital (MTD)?
Making Tax Digital is a UK government initiative requiring eligible sole traders and landlords to keep digital records and submit tax updates using MTD-compatible software.
Who does MTD apply to?
From 6 April 2026, sole traders and landlords with gross income over £50,000 must comply with MTD for Income Tax.
What changes for sole traders?
Instead of one annual Self Assessment return, affected sole traders will need to keep digital records and submit quarterly updates to HMRC using compatible software.
When is the first MTD submission deadline?
The first quarterly MTD submission deadline for many sole traders is August 7.
Is MTD compulsory?
Yes. MTD is a legal HMRC requirement for those within scope.
What is MTD-compatible software?
MTD-compatible software allows users to keep digital records and submit required updates directly to HMRC in line with MTD rules.
Sole traders can claim their free hi-vis work gear and access to Sage Sole Trader software at www.sage.com/hi-vis ahead of the MTD deadline.
