EY closes gap on rivals with "market leading" growth and claims of Britain's best audit

Oliver Gill
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EY splits out the performance of its UK arm (Source: Getty)

Accounting giant EY will today unveil "market leading" revenue growth, underpinned by what the firm's boss said was proof it delivers the UK's best quality audits.

“We are the only one of the Big Six firms at the moment with zero investigations by [regulator] the Financial Reporting Council. So I think our growth is also being driven by clients choosing us because of our increased focus on quality," EY chairman Steve Varley told City A.M..

Revenue for the year grew by 9.2 per cent to £2.35bn. Profits rose by 2.7 per cent to £464m with partner payouts climbing 2.3 per cent to an average of £677,000.

Varley said EY was catching larger Big Four rivals PwC and Deloitte, which have recently both reported annual sales of more than £3.5bn. He said:

We just report our UK revenues. Both Deloitte and PwC own other country practices.

If you unpick those country practices, we are the market leaders for growth.

Read more: PwC partner pay falls as Deloitte gains ground

EY's audit division grew by 11.3 per cent and Varley said an increased focus on quality was now starting to pay dividends.

The fastest growing of EY's four arms was its transaction advisory services team, which saw revenue rise by 15.1 per cent to £396m.

Varley said: “There have been some particularly large mega-transactions over the last 12 months, which have been core to that growth in transaction services. The M&A on the back of the EU Referendum has been a very lively market for us."

Read more: Deloitte's global revenues shoot up more than seven per cent

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