The global accounting services market continues to expand steadily, projected to grow from US$636.03 billion in 2024 to US$800.68 billion by 2029. As a cornerstone of Hong Kong’s status as a global financial hub, the local sector provides essential auditing, taxation, and advisory services. It features a competitive mix of large international firms and smaller practices. In 2023, Hong Kong’s exports of these services reached HK$2.35 billion, indicating stable demand and reinforcing the industry’s vital role in the economy.

The implementation of complex new standards like IFRS 16 (leases) and IFRS 17 (insurance contracts) is reshaping manpower needs. These require broader skill sets, driving demand for professionals who can manage sophisticated data, collaborate across functions like IT and actuarial, and ensure compliance. This has elevated the role of accountants, pushing firms to develop advisory services in financial modeling and system integration. While creating opportunities for innovation, it underscores the critical need for a resilient, multi-skilled talent pipeline.

Evolving regulatory frameworks, particularly in Anti-Money Laundering (AML) and Counter-Terrorist Financing (CTF), are transforming the accounting profession. Firms must now integrate robust compliance into their services, necessitating hybrid professionals skilled in regulatory law, forensic analysis, and data security. The adoption of Regulatory Technology (RegTech) automates due diligence and monitoring. This shift positions accountants as key gatekeepers of financial integrity and redefines the talent pipeline towards more agile, compliance-savvy, and technologically adept professionals.

Reporting Mandatory ESG reporting, aligned with new standards like HKFRS S1 and S2, is a core priority reshaping the sector. Accountants must now integrate non-financial data, such as greenhouse gas emissions, into reporting and provide assurance. This creates high demand for expertise in sustainability consulting, materiality assessments, and data management. While resource-strapped smaller companies seek advisory support, these developments position the accounting sector as a key driver of corporate accountability and sustainable development in Hong Kong.

Hong Kong’s unique position as a “super connector” under “One Country, Two Systems” offers significant prospects. The expansion of the Closer Economic Partnership Agreement (CEPA) has streamlined market access, allowing Hong Kong accountants to operate more easily in the Chinese Mainland. Coupled with government initiatives like GoGlobal to support international expansion, this integration substantially increases cross-border demand for accounting, audit, and advisory services, strengthening Hong Kong’s role as a premier regional hub for professional services.

The Government’s successful push to establish Hong Kong as a leading family office hub has generated new growth. With over 2,700 single-family offices and tax incentives in place, demand has surged for specialised accounting services in tax planning, cross-border compliance, investment structuring, and ESG reporting for ultra-high-net-worth clients. This trend capitalises on Hong Kong’s status as a top wealth centre, requiring accountants with international expertise and enhancing the city’s appeal as a major Asian financial centre.

The sector faces a transformative talent landscape, marked by a declining inflow of youth drawn to other industries and global mobility draining experienced professionals. Evolving career aspirations prioritise work-life balance. Concurrently, digital transformation and new focus areas like ESG are reshaping roles, demanding skills in AI and data analysis. Proactive measures, including talent attraction policies, enhanced education, upskilling, and flexible work arrangements, are critical to modernising the profession, ensuring a resilient workforce, and supporting sustainable growth.