Deloitte UK partners paid more than $1.9m despite slowdown

afr.com:

London | Partners at the UK arm of Deloitte will earn more than £1 million ($1.9 million) again this year despite a recent slowdown in demand.

The amount shared by the accounting firm’s 1300 UK equity partners is broadly the same as last year. They also pocketed another £53,000 each after the firm made £38 million from selling Deloitte Total Rewards and Benefits, it said on Friday (Saturday AEDT).

Deloitte UK partners have maintained income despite a slowdown. Bloomberg

A strong performance in the first half of the year helped offset slower growth in Deloitte UK’s advisory arm in the six months to the end of May, when deal-making suffered and clients became more cautious with their spending. Deloitte recently announced it was cutting more than 800 jobs in the UK in response to the slowdown.

“Markets are expected to remain challenging and, like any responsible business, we have adjusted our plans in response,” UK chief executive Richard Houston said.

He added that the UK faced a tough year, with concerns about the cost of living, slow economic growth and rising geopolitical tensions.

Deloitte UK’s profit rose 6 per cent to £756 million in the year to May. Revenue for its British business, which includes its Switzerland arm, increased to £5.6 billion from £4.9 billion. This was fuelled by 16 per cent growth in consulting revenue thanks to demand from financial services and public services, as well as digital transformation programs.

Revenues only increased 9 per cent in the second half of the year, compared with the annual rise of 14 per cent.

Job cuts at Deloitte are in line with broader cost-reduction measures from big four rivals in the UK. KPMG also plans to cull 125 consulting jobs, while EY announced it is cutting 5