Financial Services, Taxation 2012 Salary Guide

Ian Barker 09.01.2012

Taxation

Permanent

The first half of 2011 saw a continuation of the recovery witnessed over the course of 2010. There was hiring activity in all areas of group tax across the banking and wider financial services market, including some notable senior appointments. Whereas the bulk of recruitment in 2010 was for replacement hires, an increasing number of companies recruited for expansion in 2011. There is ongoing demand for compliance, risk reporting, VAT and transfer pricing specialists.

There has also been a definite increase in advisory, transactional and project-led roles. However opportunities for tax structuring professionals within the front office remain in fairly short supply.

The recovery witnessed in the first three quarters of 2011 was unfortunately curtailed in the latter months of the year as a result of the eurozone crisis and concern that it would negatively impact the UK economy and financial services sector in 2012 and

beyond. Recently, several job opportunities have been withdrawn, put on hold or filled with a contractor, and several companies have unfortunately made redundancies.

Despite this, there are still many financial services organisations either recruiting or planning to recruit in 2012, which indicates that the impacts of ongoing global economic uncertainty may not be as great as some fear.

 

BASIC SALARIES (PER ANNUM)

Role Analyst / 0-2 years AVP / 2-5 years VP / 5-7 years Director / 7-10 years MD / 10+ years
Tax Compliance & Reporting £25k - £35k £35k - £60k £60k - £80k £80k - £120k £120k - £200k
Tax Advisory & Structuring £25k - £40k £40k - £65k £65k - £90k £90k - £150k £150k - £250k
International Tax £25k - £40k £40k - £65k £65k - £90k £90k - £150k £150k - £250k
VAT £20k - £35k £35k - £55k £55k - £75k £75k - £100k £100k - £200k
Transfer Pricing £25k - £35k £35k - £60k £60k - £80k £80k - £120k £120k - £200k
Operations Tax £20k - £32k £32k - £50k £50k - £75k £75k - £110k £110k - £150k
Expatriate & Employment Tax £20k - £35k £35k - £50k £50k - £70k £70k - £100k £100k - £150k

 

Temporary

The interim taxation hiring market continued where it had left off in 2010 with a steady flow of contract and interim roles coming onto the market in H1 2011. The majority of roles created were to assist in- house tax teams with the burden of compliance and reporting work with some organisations unable to increase headcount due to budgetary constraints. There was some demand for more senior level interim contractors to cover strategic projects but

the main demand remained predominantly at the tax accountant and tax manager levels. Hiring managers continued to favour professionals with some prior experience in UK taxation but with the increased job flow at the end of 2010 and the start of 2011, the supply of candidates at the more popular tax accountant level gradually decreased. This led some businesses to relax their criteria or increase rates to attract the best talent.

The interim market looks set to be relatively active at the start of 2012. Some organisations are choosing to replace leavers with contract hires whilst they wait to review those positions on a permanent basis once the impact of the current economic climate becomes clearer. Prospects for interim and contract tax professionals in 2012 remain relatively positive.

 

RATES (PER HOUR)

Role Analyst / 0-2 years AVP / 2-5 years VP / 5-7 years Director / 7-10 years MD / 10+ years
Corporate Tax £15 - £20 £20 - £30 £30 - £40 £40 - £50 £50 - £100
VAT £12 - £18 £18 - £28 £28 - £35 £35 - £45 £45 - £80
Transfer Pricing £15 - £20 £20 - £30 £30 - £40 £40 - £50 £50 - £100
Expatriate & Employment Tax £12 - £18 £18 - £28 £28 - £35 £35 - £45 £45 - £80

 

Ian Barker's picture
UK Director - Professional Services (Taxation, Audit, Legal)
ibarker@morganmckinley.co.uk