Partners at the accounting firm PwC UK have been given more than 1 million for the first time after a double-digit rise in revenues across the business.
The firm said on Thursday it had increased average payouts for 995 top-level employees to 920,000 for the 12 months to June, up 12% from a year ago, after a jump in profits linked to higher income from consulting services.
Partners received another 105,000 each, on average, after sharing in proceeds linked to the disposal of its mobility and immigration business, which helped multinational businesses manage business travel, immigration issues, tax and salaries.
It helped push total pay for each partner past 1 m for the first time.
PwC said that the firm made the biggest investment in UK staff salaries for 10 years, which resulted in nearly three-quarters of its employees receiving another 7% in base pay and about half receiving a 9% rise or more. It also gave out another 138 m in bonuses for the year, up 10 m from 2021.
PwC partners have been warned to manage their expectations, with pay expected to fall next year as higher salaries across the business eat into distributable profits.
As things currently stand, PwC s UK chairman and senior partner Kevin Ellis said we invested heavily to put us in the best position to deal with these challenges.
Ellis said that rising prices and tight labour market could put pressure on clients' finances, although he did not anticipate a slowdown in demand for PwC services over the next year.
We can't be complacent. High inflation and high employment, which haven't been seen together for a long time, is a combination that will affect all businesses, he said.