KPMG Partners Surpass PwC to Become Second Best Paid in Big Four

Partners at KPMG have overtaken their rivals at PwC to achieve the status of the second-best paid among the Big Four accountancy firms. This change comes as distributable profits per partner averaged £880,000 for the 12 months leading to September 30, 2025, representing an 11 per cent increase from the previous year.

KPMG’s average partner remuneration now exceeds that of EY, which reported an average of £787,000, and PwC, at £865,000. However, it remains below Deloitte, where average partner pay exceeds £1 million. This significant payout occurs despite KPMG’s caution regarding ongoing challenges and an industry-wide decrease in staff turnover, compelling the firm to focus on cost management.

The firm reported revenues of £3.6 billion, an increase from £2.99 billion the previous year. Total profits before tax were recorded at £576 million, reflecting a 14 per cent annual growth, while overall sales growth stood at a modest 2 per cent. Notably, KPMG’s tax and legal business saw a growth of 6 per cent, with the audit division expanding by 5 per cent due to strong demand for advisory services related to complex regulatory changes.

However, KPMG’s advisory segment experienced a decline, down by 3 per cent, attributed to a challenging consulting environment. The firm has announced plans to boost spending on colleague bonuses by 18 per cent and increase promotions.

The recent merger between KPMG’s UK and Swiss operations, which took effect on October 1, 2024, is expected to provide new opportunities for clients and employees alike. This merger brought together a workforce of 16,000 in Britain and 2,200 in Switzerland.

KPMG is also in the process of selecting a new chief executive to lead its global operations. Jon Holt, who currently heads KPMG’s UK division, is among the candidates competing for this significant leadership role.

Holt commented on the firm’s recent performance, highlighting the merger as a pivotal moment that has opened new avenues for client service. He also addressed the challenging outlook for the industry but assured that KPMG has the necessary strategy in place for sustainable long-term growth.