Deloitte cuts partner payouts as revenue growth slows
DELOITTE, the Big Four accountancy firm, saw UK revenue growth slow last year and it has cut partner payouts.
Revenues grew 1.4% in the year to May to around £2.54bn, compared to an 8% rise in the previous year.
The firm cut the amount paid to its 750 partners by £17m, or 3%, to £554m. Each partner received around £750,000 each, compared to £772,000 last time.
During the year, revenues from the firm’s corporate finance arm increased by nearly 5% to £424m, and consulting grew by 0.5% to £622m. Tax revenues were largely flat at £562m and audit declined from £719m in 2013 to £706m this year.
The firm, which has around 700 employees in Manchester and 80 in Liverpool, did not release financial details for the North West, but it’s understood the region saw similar growth to the UK.
Richard Bell, practice senior partner in the North West, said: “Amidst some shifting factors, the high quality and breadth of our clients has enabled us to deliver a year of successful growth and targeted investment by Deloitte in the North West region.
“This commitment is reflected in our hire of more than 120 new employees, including 63 graduates and school leavers. Eight people have been promoted to our most senior levels, with Rachel Argyle and Ian White becoming partners.”
He added: “We’ve played a key role in the exciting deals that an advanced recovery in M&A has created, such as the £1.2bn float of AO World and the disposals of Innovia; The Co-operative Group’s Farms business; and Gold Medal Travel. We’re helping with the city’s transformation of East Manchester, working with Manchester City Football Club to deliver its vision for the Etihad Campus.”
