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PwC's 2017 profit slips as Brexit hits executive pay

Published 18/09/2017, 10:29
© Reuters.  PwC's 2017 profit slips as Brexit hits executive pay

LONDON (Reuters) - Accountants PricewaterhouseCoopers LLP reported a one percent fall in UK profit for the year to June 30 while average executive profit fell by eight percent as Britain deals with the consequences of the Brexit vote.

Profit came to 822 million pounds, down from 829 million.

The average profit per partner was 652,000 pounds, down from 706,000 a year earlier, it said in its 2017 annual report.

Revenue rose 5 percent to 3.60 billion pounds mostly on growth in its assurance, tax and consulting units.

Revenue at its deals division fell by one percent, as strong transaction services were offset by the winding down of some long-term insolvency and forensic assignments, it said.

Fallout from Britain's vote to leave the European Union, June's unexpected general election and the U.S. election "are still being felt by the UK, by our clients and our firm," chairman and senior partner Kevin Ellis said.

"While our performance over the year was solid, the external uncertainty and volatility had an impact on our trading and the first half of the year was significantly slower than the same period in the previous year," Ellis said.

PwC, which employs more than 22,600 people and 953 partners across 62 offices in the UK, said it has increased its presence outside of London to cities such as Reading and Leeds.

"The two main challenges we face are addressing the implications of Brexit and ensuring we maximise the benefit of technological change. These are profound and long-term challenges," Ellis said.

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