Pay likely to rise as firms court talent

FOUR in ten chief financial officers in the finance industry plan to increase bonuses over the next six months, according to a survey by the Institute of Chartered Accountants in England and Wales (ICAEW) and recruiter Robert Half.

Forty-three per cent of those planning bonus rises for their staff are looking to increase them by around five to six per cent – just above inflation, while 29 per cent will beat inflation with a seven to ten per cent pay rise.

However, just over half of those surveyed said they expected bonuses to stay the same, with zero respondents expecting a decrease. The trend reflects the fact that firms face growing competition for staff from a limited talent pool.

Robert Half director Neil Owen says: “Many organisations are finding that they currently do not have the resources to manage emerging initiatives and are therefore engaging senior-level financial professionals on an interim basis.”

The research also includes a survey of 513 associate chartered accountants, which reveals that the median bonus is £16,000, much lower than public perceptions would suggest, with only nine per cent of respondents saying they receive a bonus of over £100,000.

The survey queried 280 chief financial officers about their pay plans.