KPMG UK announces 2.6 per cent growth in revenue in 2015
KPMG posts an increase in revenues of 2.6 per cent to September and reports a significant investment in personnel and property.
KPMG UK has announced a 2.6 per cent growth in revenues in 2015 to £1.96bn. The big Four firm said revenues increased from £1.909bn to £1.958bn.
In the 12 months to the end of September, profits before tax dropped 7 per cent, from £414m to £383m but the firm said this was down to significant investment in the year.
KPMG UK said it had invested a total of £196m in acquisitions, property and staff training and development.
There were also changes to the operating model to "serve clients on their most pressing issues". The result was that audit saw a 9 per cent increase in contribution to profits from £181m to £197m and tax saw a 17 per cent increase from £129m to £151m. There was, however, a decrease in advisory of 5 per cent in contribution to profits from £324m to £308m.
Simon Collins, UK chair of KPMG, said the firm now has 617 partners and 11,652 employees, an increase of 2.7% from 2014. Mr Collins said the firm has also invested in retaining current staff with a big spend on staff training and development.
KPMG’s bottom line was also affected by spending on property and equipment during the year. It opened a new clubhouse in Mayfair two months ago to cater for clients and partners away from its Canary Wharf headquarters.
Mr Collins said: "We have introduced audit opinions which go beyond regulatory requirements to meet investor needs better; engaged in international regulatory change on tax and invested heavily – to the tune of £49m – in acquisitions which bolster our consulting business.
"Overall, we have invested £196m in our business to set it on the path to sustainable long-term profitable growth."
He added: "As an employer of almost 12,000 people, we take our role seriously and have worked hard to give our staff opportunities to work on interesting and challenging client work and put together a market-leading benefits scheme to reward their efforts.
"Reward and opportunity also extend to diversity and inclusion. I feel passionately about creating a working culture which includes a diverse group of people."