Deloitte profits from 10.5% rise in consulting revenues
One of Britain’s Big 4 firms, Deloitte, has a profit pool of £593m to be shared out amongst partners.
The money is the result of a surge in revenues from its consultancy business, and means that 721 partners will receive an average of £822,000.
A 10.5% rise in consulting revenues is the main driver behind the near 10% increase of profits, up from £750,000 last year. The group’s core auditing practice only managed growth of 0.3%.
Much of the firm’s consultancy work came as a result of the Tesco scandal that led to the departure of several Tesco senior executives. It also sparked investigations by the Serious Fraud Office and the Financial Reporting Council.
In May, Tesco announced Deloitte as its new auditor, replacing PwC who had held the contract for the past 32 years.
David Sproul, Deloitte's senior partner and chief executive, took home £2.8m, up from £2.6m last year.
Elsewhere in the company, publication of its gender pay gap details saw a figure of 17.8%. The company pointed out this was 1.3 points below the national average, and 1.5 points below in relation to male and female employees at the same grade.
Sproul said: “This illustrates that for Deloitte, the issue is far less about how we pay our people and more about the number of women employed at senior grades.”
Sproul also said that hesitation in the UK economy in the run-up to the general election in May had affected profits and that further uncertainties centred around the EU.
“Concerns remain over fragility in the Eurozone and turbulence in the Chinese economy, whilst the UK’s position in the EU must be resolved quickly to avoid it becoming a drag on business investment,” he said.
Every business operates with the goal of growth, but only a few manage to beat the competition at every curve.…
Despite the hardships faced by many businesses during the COVID-19 pandemic, there has never been any shortage of innovative entrepreneurs.…