PROFESSIONAL services firm KPMG expects to secure work linked to regulatory and political changes in 2018 after recording an increase in full year turnover.
KPMG secured a six per cent rise in annual turnover to £160m in the North of England last year after delivering a “solid performance”, according to its regional head.
Across the UK, KPMG announced a five per cent increase in revenues from £2,068m to £2,172m for the financial year ended September 30 2017.
However, a selection of investment write offs and one off items saw the firm’s profits decrease by 19.5 per cent. As a result, the firm’s profit before tax and members’ profit shares fell from £374m to £301m. This led to a reduction in average partner remuneration from £582,000 to £519,000.
Chris Hearld, the North regional chairman, said KPMG had built on a strong performance over the previous two years.
Mr Hearld also confirmed that KPMG, which has 1,000 staff based in Yorkshire, is placing a greater emphasis on apprenticeships as part of its recruitment strategy.
Mr Hearld added: “We enjoyed excellent growth in our audit practice and are delighted with our performance in competitive tenders during the year, highlighted by securing the audit of Croda plc.
“Our consulting teams also had a particularly good year, driven by increased demand from clients for advice on pressing issues such as GDPR (General Data Protection Regulation) and cyber security, while our commitment to the privately owned part of the regional market is paying off with significant briefs spanning the breadth of our services.
“Our market-leading M&A (merger and acquisition) teams continue to advise on some of the region’s highest profile transactions, including the NISA takeover by Co-op and the LDC acquisition of tech business Mitrefinch.
“And while our restructuring team performed well against the backdrop of a relatively stable market, all the signs are that their pipeline for 2018 looks strong – perhaps an indication that gathering economic headwinds are starting to impact companies’ bottom lines.”
Mr Hearld said KPMG had continued to invest in its people. In Yorkshire, KPMG promoted 82 people including three partners and five directors and recruited 73, of which 15 are apprentices.
He added: “This is a 50 per cent increase on last year reflecting the increasingly important role of apprenticeships in our recruitment strategy.
“We and our clients stand to benefit from the greater diversity we achieve by encouraging a wide range of people with different skills and experiences to join us.
“I am also very pleased to have worked with the Lighthouse Futures Trust for the first time. This Leeds charity supports the growth of employment opportunities for young people with an autistic spectrum condition.
“Looking ahead to 2018, regulatory and geopolitical change will undoubtedly continue to create opportunities for us, and we foresee further advisory opportunities stemming from the Government’s industrial strategy, including public and private sector partnerships, funding collaborations and infrastructure investments.”