Salaries for tax professionals increasing in 2014?
Published almost 5 years ago by F F
Despite real evidence that the market for tax professionals,
is moving ahead at the fastest pace in several years, the salary levels of tax
professionals have not necessarily reflected the changes we are seeing in the economy.
The latest salary surveys from both Markit Economics and
KPMG have revealed that the increase in permanent job placements in the UK have
reached a four year high, while temporary placements are growing at a slower
rate. In terms of salaries, these are growing at their highest level since
Companies are opening up new roles, expanding their business
and feeling more hopeful about future growth. Employers are also under some
pressure to increase salaries to bring them back to pre-crash levels and to
ensure they stay within inflationary targets. This has led to increasing
salaries in a number of markets – particularly for those switching jobs. Of
course the demand for tax professionals will always rise as business confidence
A number of the larger firms (particularly in the Top 10) are
also reporting a shortage of good candidates to fill roles. This is particularly
true in the tax arena where Big 4, Top 10, Mid-tier and Niche tax practices are
looking for high quality tax professionals with specialist backgrounds. This is
something which is being seen across the UK – but particularly in the larger
While this is great news, it doesn't always appear to be
translating into higher salaries for those already in secure jobs. The reasons
people tend to stay in their current roles are ones of security – a factor
which has been at the forefront of a lot of tax professional’s minds for the
last few years – however the situation is now changing.
Companies across the country want new people to fill varied and
bespoke roles, often creating roles especially for those with particular skill
sets. A number of firms are also not afraid to spend more money to secure the
right person. Currently, the best way to get a better salary is to move to a
new company – however this is something which will settle down (for successful firms)
as businesses realise they need to retain staff. I believe there is an upward trend
due, which will be more noticeable from 2014.
The answer for tax experts (looking to improve their position)
is to either negotiate a better salary with their current employer, or to set
their sights on new roles, in this fast moving market and gain higher salaries
and rapid promotion by taking their talents to new employers.