Friday 21 August 2020 8:36 am

PwC delays results over coronavirus partner pay uncertainty

Big Four accountancy firm PwC UK said it is delaying its annual results by four months because the coronavirus slowdown means it is unsure of what to pay partners and what to distribute in staff bonuses.

PwC normally announces its results in September but is now planning on releasing its results for the year to 30 June in January.

“In keeping with our focus throughout the pandemic, our current priorities are managing our business, supporting our clients and preserving jobs before we make any decisions about the quantum of the bonuses we pay to our staff and distributions to partners,” a spokesperson said.

Last year partner profits at PwC UK increased 7.4 per cent to £765,000, despite the firm receiving a dressing down from the regulator for the decline in the quality of its audit work.

Profit for the year to 30 June increased to £1.016bn, up from £935m the previous year.

Revenue leapt 12 per cent to £4.23bn from £3.76bn in 2018 which the firm ascribed to higher than expected demand as clients seek help tackling uncertainty and risk.

The global firm is expected to release its financial results next week.

In April PwC, froze promotions, pay rises and bonuses for staff and told partners they would shoulder the financial burden of the current crisis.

All of PwC’s 22,000 UK staff worked remotely during lockdown, but the firm reopened its offices on 1 August and staff have begun returning to work.

PwC chair Kevin Ellis told City A.M.: “We’ve been led by our people and the overriding message is that just because you can work from home doesn’t mean you should.”