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UK Salary Guide: Tax 2020

Tax
 This salary guide provides an overview of
recruitment and remuneration within the
UK tax market.

In it, we discuss what is driving recruitment in tax,

exploring the distribution of demand amongst skillsets
and roles, the reasons behind it and the effects on
remuneration. In addition to market commentary,
we have provided comprehensive salary information
broken down by sector and level.

We hope that you find it informative and insightful.

For an in-depth consultation on the market, tailored

salary benchmarking, or to discuss your hiring needs,
please do get in touch.

Ewen Burns
Managing Director, UK Tax Practice
+44 (0) 20 7429 4468
ewenburns@puresearch.com

2 Pure – UK Salary Guide: Tax 2020

Foreword Despite Brexit road blocks and other political instability, which under normal
circumstances would dampen activity, in 2019 there was in fact strong
appetite to hire tax professionals across the UK.

Further legislative and regulatory changes, deal flow across the alternative investments
together with ongoing disputes and steady market.
mergers and acquisitions (M&A) activity,
The rate of hiring among larger businesses
created the need to further increase the
with mature tax functions was not
size and capability of teams throughout
extraordinary, given their success in
commerce & industry, financial services and
pipelining talent over recent years. However,
professional services. There was a shortage
we continued to see the trigger to hire tax
of talent at many levels, prompting employers
talent in smaller organisations coming a
to think outside the box on employee
lot sooner than in previous years, largely
attraction and retention strategies.
due to the heightened profile and risk
As Making Tax Digital (MTD) approaches at now surrounding tax. This was further
pace, the drive for efficiencies underpinned underpinned by the buoyance of the private
by improved systems and processes was equity (PE) sector, and we saw a large
again to the fore in 2019. The Big 4 were very number of portfolio businesses hiring a tax
much in the thick of this, providing support leader to develop their in-house capability
through product solutions and/or for those and support the business towards a future
who opted for an outsourced model. Whilst event.
in previous years demand for the “taxologist”
All of this meant that the range of roles we
was largely within the accounting firms,
saw across the tax market was broader than
and primarily the Big 4, there was increased
ever before. The need for commercial tax
demand for this dedicated capability in-house
professionals with a clear communication
amongst many of the larger corporations.
style only further grew. That said, the skills
Similarly, the advisory options are trickling
needed to operate effectively are ever
through to the Top 10 and some boutique
evolving. As such, throughout this year we
firms as they look to leverage their service
expect a further onus on change in what the
offering in this space.
modern-day tax professional looks like and,
Brexit stole the headlines for much of the in turn, how tax functions perform.
year and the political turmoil that followed
created notable uncertainty in pockets
of the market, mainly in the banking
space. Aside from this, we did not see the
slowdown that might have been expected.
Largely, the advisory firms remained bullish
about the future as they responded to
increased competition, their own change
agenda with respect to audit rotation and
worked to stay on top of the heightened

puresearch.com 3
Head of Tax Tax leaders adapt to higher expectations than ever before

and Partner Today’s tax leaders face myriad pressures that would have been hard to
imagine a mere few years ago. The pace at which technology and levels of
governance are developing means that heads of tax and partners alike must
adeptly navigate through change both in terms of their own skillset and that
of their team. This is at the same time as dealing with the turbulent political
and economic environment, particularly with regards to renegotiation of
trade agreements and how they require tax to support operational and
structural transformation.

2019 saw a material amount of corporate Along with an understanding of the

activity, with tax professionals kept
busy tackling major restructures, M&A,
divestment and PE takeovers. As Brexit
looms, PE firms continue to hunt the market
and PLCs are looking to realise value. The
view is that this degree of deal flow will
continue, giving further rise to demand both
in-house and across the advisory space.
All of this means that having the right
people, in the right places, doing the
right things is crucial. Tax professionals
have come a long way in adapting their
skills to the evolved requirements, but
demand remains for those who are
accomplished on both the technical
and softer side. Businesses who have
succeeded in this have focussed time and
investment on training programmes to
retain and develop existing team members,
paired with competitive remuneration
packages and slick recruitment
processes to attract the best talent.
political influences on tax, leaders in this
field must have a broader ranging skillset
than ever before and be adept in the
changing environment, with the ability
to act quickly and with conviction.
Salary trends
Despite increased pressures and
responsibility, 2019 did not see much
change in how heads of tax and partners
were remunerated. Where there was
change tended to be within the Top 10 or
boutique firms as they offered enticing
packages to lure talent away from the
Big 4. Coupled with this, a number of PE
backed and private businesses competed
in salary level to the bigger PLCs.
As with the previous year, we saw a number
of heads of tax broaden their sphere of
influence to incorporate treasury, or other
aligned areas, which in turn had an impact
on the salary level they commanded.

Skills in demand Looking ahead

It’s no surprise that a blend of technicality
and strong leadership skills are essential
to performing the role of the modern-day
head of tax or partner. Whilst that has been
the case for many years now, somewhat
newer on the agenda is the demand for
tech-savvy tax leaders who are able to
strategically position tax and partner on
business wide initiatives where tax is part
of the end to end business process.
In the midst of uncertainty, what seems
set is the direction tax is travelling.
Digitisation and evolving operating models
will continue to challenge what the
traditional tax function looks like, whilst
also shaping the role of the tax leader.
Brexit will affect some businesses more
than others, but what is in no doubt is
that tax will be heavily involved and tax
leaders will be required to navigate their
way through this unprecedented time.

Key expectations for 2020

ƒƒ A focus on talent pipelining within the bigger corporations and firms, to
underpin stronger succession planning to head of tax and partner
ƒƒ Anticipated movement in the PE and private space should lead to a large
number of first-time head of tax appointments across all sectors
ƒƒ Head of tax role will continue to expand, either formally through having
treasury within the remit, or naturally through the direction of travel around
digitisation and need for high level business partnering

4 Pure – UK Salary Guide: Tax 2020

Salary Guide
GBP Head of Tax
Market Cap Base Bonus Total Comp

1-5bn 120-150k 15-30% 220k

5-10bn 130-180k 20-40% 290k

10-50bn 160-240k 30-60% 340k

50-100bn 220-280k 30-60% 410k

100bn+ 250-340k 50-100% 570k

Partner
Big 4 Total Earnings Non-Big 4 Total Earnings

Junior Partner 180-250k Junior Partner 140-180k

Mid-Range Partner 280k+ Mid-Range Partner 190k+

Senior Partner 450-700k Senior Partner 250-650k

Equity Partner 800-1.2m Equity Partner 450-650k

Head of Tax ‘Total Comp’ includes any deferred incentive, but excludes other typical benefits.

Partner ‘Total Earnings’ includes base salary and profit share allocation.

In addition to the above, typical package benefits include car allowance, pension, medical and life insurance.

There are anomalies outside these bandings where exceptional compensation structures apply.
For bespoke salary information, please contact Pure.

5-15%
typical salary uplift when moving role

…having the right people, in the right

places, doing the right things is crucial

puresearch.com 5
Commerce & Strong demand in the face of political headwinds

Industry Despite a turbulent economy, the commerce & industry tax market remained
surprisingly busy throughout 2019. There was a steady stream of senior
mandates, several of which were within FTSE businesses who have, latterly,
invested in hires across their team.

The increasing compliance and legislative Salary trends

burden created by OECD and HMRC Generally, we saw salaries in 2019 rise
policies has put more pressure on slightly, largely in line with inflation. That
businesses with little to no in-house said, there were a number of anomalies
tax capability, which led to a surge where above market rate was commanded
in instructions from chief financial by those in more specialised areas or where
officers and finance directors looking the level of competition was at its highest.
to appoint a first-time tax lead. This gives an indication as to what we
might see happen in 2020 if the level of
Demand at the junior end of the market
demand across the tax market continues.
remained extremely high as there was
further building out of teams across all
Looking ahead
sectors and also a degree of replacement
Given the amount of change that is shaping
hiring due to the level of competition.
tax, it is now more pertinent than ever
This was most acute at the newly
that tax professionals are proactive in
qualified (NQ) to manager levels, where
shaping their careers and ensuring their
those with a broad base of advisory and
experience remains relevant. Surround
hands-on compliance and reporting
yourself with trusted advisors and mentors
experience were in particular demand.
to use as a sounding board on long-term
aspirations, and work with your head
Skills in demand
of tax to ensure you have a learning
The onus on softer skills and ability to
and development plan in place. The
communicate tax issues effectively to
importance of stakeholder management is
business stakeholders continued to be
set to increase, so consider coaching and
high on the list of skills sought after.
advice from outside the tax profession.
Many of our clients talk about being an
enabler and fulfilling the role of business
partner, and this will continue.
An awareness of technology and an ability
to influence change remain central. As
the digitisation agenda continues at pace
and we see advances in the technological
products available, there has been
increased demand for the taxologist, with
a growing number of businesses hiring
in this space, often for the first time.

Key expectations for 2020

ƒƒ Profile and complexity of tax will continue to heighten, but salary rises are
likely to be offset by challenging market conditions
ƒƒ Growth and change within teams should present plenty of opportunities for
progression and developing new skills
ƒƒ With high levels of demand anticipated at NQ and manager levels, the
market will remain extremely competitive for top tier talent

6 Pure – UK Salary Guide: Tax 2020

Salary Guide
FTSE 100 (Non-FS)
Compliance/ International M&A/
GBP per annum: Base Bonus Range
Reporting Tax Special Projects
Manager 68-80k 70-82k 68-80k 12.5-25%

Senior Manager 81-110k 85-114k 86-112k 30-35%

Director 110-131k 111-151k 109-158k 25-45%

FTSE 250 (Non-FS)

Compliance/ International M&A/
Bonus Range
Reporting  Tax Special Projects
Manager 65-79k 66-80k 66-81k 10-20%

Senior Manager 76-94k 83-108k 84-110 17.5-30%

Director 95-130k 108-135k 104-136k 25-40%

Overseas Multinational/Private Organisation (Non-FS)

Compliance/ International M&A/
Bonus Range
Reporting  Tax Special Projects
Manager 63-78k 66-80k 65-81k 10-25%

Senior Manager 77-100k 84-104k 81-104k 15-30%

Director 95-130k 106-135k 105-138k 20-45%

In addition to the above, typical package benefits include car allowance, pension, medical and life insurance.

There are anomalies outside these bandings where exceptional compensation structures apply.
For bespoke salary information, please contact Pure.

8-12%
typical salary uplift when moving role

Surround yourself with trusted advisors and mentors

to use as a sounding board on long-term aspirations,
and work with your head of tax to ensure you
have a learning and development plan in place

puresearch.com 7
Financial Competition fierce across the sector

Services Hiring across financial services tracked at a high level throughout 2019.
Asset management (AM), PE and alternative investments were particularly
busy, with high demand at all levels. Many of the larger banks and insurance
firms focused their hiring at the junior end as they typically promoted
internally to backfill senior positions.

As fintechs continued to expand into Looking ahead

multiple jurisdictions, there was a growing In 2020 we expect the skills in demand to be
need to hire in specialist areas such as similar to 2019 and, with that, the challenges
indirect tax, employment tax, compliance presented to hiring managers in terms of
and reporting to complement existing – sourcing the very best people in a talent
usually very lean - in-house capability. tight market. Firms must therefore focus on
how they attract and retain talent by making
Skills in demand the most of their company policies such as
With rapid changes across the tax culture, flexibility and wellbeing, at the same
landscape, institutions are having to time as scoping a road map for progression.
reassess their tax risk framework in all
As well as gaining a good breadth of
disciplines. This spiked the demand for
experience, being involved in projects such
professionals who can operate strategically
as Brexit, US reform and technology will
and act on legislative changes such as
only support progression and marketability.
corporate criminal offence and base
erosion and profit shifting (BEPS).
Coupled with this, the continued buoyance
of the M&A market and heightened
activity across the PE and AM space led
to greater demand for tax professionals
with deals and/or structuring experience.

Salary trends
Compensation remained largely unchanged
in 2019, and bonuses hovered around the
20-40% mark dependent on the area of
financial services and level of role. That
said, those at the junior level saw a notable
increase in total compensation as firms
looked to compete for talent in this space.
It is likely that this trend will continue
throughout 2020, with salary uplifts for
changing role sitting around 10-15%.

Key expectations for 2020

ƒƒ Smaller institutions, especially those with no in-house tax resource, will
have to consider hiring tax specialists due to the spotlight on tax around
legislative change, transparency and Brexit
ƒƒ Further disruption from new entrants in the fintech and challenger space
ƒƒ Deal flow anticipated to be at a good level, which will fuel demand for
those with M&A experience

8 Pure – UK Salary Guide: Tax 2020

Salary Guide
Banking
Compliance/ International M&A/ Operational
GBP per annum: Base
Reporting Tax Special Projects Tax
Manager 64-77k 67-84k 68-87k 53-68k

Senior Manager 80-108k 86-112k 90-116k 70-97k

Director 114-141k 119-162k 112-180k 98-121k

Asset Management/Private Equity

Compliance/ International M&A/ Operational
Reporting Tax Special Projects Tax
Manager 62-76k 66-89k 66-91k 53-68k

Senior Manager 80-108k 87-112k 93-120k 70-97k

Director 109-131k 112-168k 115-180k 98-121k

Insurance
Compliance/ International M&A/ Operational
Reporting Tax Special Projects Tax
Manager 66-78k 69-84k 67-89k 53-68k

Senior Manager 80-105k 85-108k 88-113k 70-97k

Director 109-132k 111-146k 113-163k 98-121k

In addition to the above, typical package benefits include pension, medical and life insurance.

Bonuses vary hugely across financial services; however, the averages are: banking 20%, asset management 35% and
insurance 25%.

There are anomalies outside these bandings where exceptional compensation structures apply.
For bespoke salary information, please contact Pure.

10-15%
typical salary uplift when moving role

As well as gaining a good breadth of

experience, being involved in projects such
as Brexit, US reform and technology will only
support progression and marketability

puresearch.com 9
Professional Audit rotation disrupts market norms

Services Professional services enjoyed a bullish year of hiring in 2019, with the
advisory firms kept busy by an active M&A market, Brexit, tax technology
changes and the impact of audit rotation. This high demand has been
exacerbated by a skills shortage throughout the UK tax market, particularly
at the NQ to 2 years post qualified experience (PQE) level.

There is a general sense amongst the mid-
tier firms that the onset of audit rotation
will lead many businesses to look beyond
the Big 4 for tax advisors. As such, many
mid-tiers are in growth mode and we have
seen numerous Big 4 tax professionals
move into this space. It is not only the
Top 10 that Big 4 must be wary of losing
talent to; leading law firms and boutiques
have had success in hiring Big 4 directors
and partners with ingrained networks to
quickly and effectively grow tax service
lines and capitalise on a buoyant market.
Skills in demand
M&A tax, transfer pricing (TP) and core
UK tax legislative experience were hubs
of demand throughout 2019. Within these
areas, there were pockets where demand
was particularly acute - real estate, owner
managed business and financial services.
With a significant shortage of talent at 0-3
years PQE, many firms have invested heavily
in resourcing strategies, using levers beyond
money and scope of role to retain and
attract candidates, such as flexible working.
Tax professionals moving between firms
are seeing salary uplifts of around 20%;
understandably, given the competitive
nature of the market, and we have seen
an increase in counteroffers. Bonuses in a
number of teams, particularly across M&A
tax, have been strong and ranging from
anywhere between 10% to 50% depending
on level and performance. We expect these
trends to continue throughout 2020.
Looking ahead
Candidates should look to gain strong core
tax advisory skills which can be transferable
in practice or in-house. Those in compliance
and reporting should consider getting
exposure to tax technology and how it will
impact these processes moving forward.
Individuals with strong process improvement
experience and/or full scale implementation
of systems will only become more valuable
as we journey towards digitisation.

Salary trends
Overall salary bandings in professional
services remained static in 2019 but,
more importantly, firms are paying out
of bandings (for example, in M&A tax)
or in the upper quartile when hiring.

Key expectations for 2020

ƒƒ Continued demand in M&A and transaction tax
ƒƒ Largely the firms will remain bullish and drive their 2020/21 growth plans
ƒƒ Audit rotation will potentially lead to increased demand in tax audit and
disruption

10 Pure – UK Salary Guide: Tax 2020

Salary Guide
Big 4
GBP per annum: Base Tax Consulting Tax M&A (bonus)

Assistant Manager 43-54k 43-54k

Manager 54-63k 54-74k (10-15%)

Senior Manager 73-110k 73-110k (20-40%)

Director 115-220k 120-220k (20-40%)

Non-Big 4
Tax Consulting

Assistant Manager 43-53k

Manager 50-68k

Senior Manager 70-100k

Director 100-150k

Law Firms
Tax Consulting (Qualified)

Assistant Manager 74-100k

Manager 100-200k

In addition to the above, typical package benefits include pension, medical and life insurance. Cash benefits for the
Big 4 are as follows: Assistant Manager, £600; Manager, £4.5-5.5k; Senior Manager, £6.35-8.5k; Director, £7.5-10k.

Bonuses vary hugely across professional services; however, the averages in different areas of corporate tax are:
compliance and reporting 10%, international tax 10% and M&A 20%.

There are anomalies outside these bandings where exceptional compensation structures apply.
For bespoke salary information, please contact Pure.

15-20%
typical salary uplift when moving role

…many firms have invested heavily in resourcing

strategies, using levers beyond money and scope
of role to retain and attract candidates

puresearch.com 11
Indirect Tax Technology shapes roles
For the majority of 2019, recruitment across indirect tax was dominated by
assistant manager and manager roles. However, in the latter part of the year, there
was movement at the head of indirect tax level which initiated a much-anticipated
domino effect, reinvigorating hiring across the senior end of the market.

How data is captured and transferred is specialists continue to broaden their

continuing to shift at pace towards real-time
MTD and submission of information. MTD and further
further improvement of systems and processes
is driving the demand for those who are
improvement comfortable with numbers and technology.
of systems Given that the majority of heads of indirect
tax feel their biggest skill gap is technology,
and processes it is clear what direction we are travelling in.
is driving the
Skills in demand
demand for Candidates with a blend of compliance
those who are and advisory experience were in high
comfortable demand throughout 2019, as were those
with expertise in tax technology. With
with numbers many businesses focussed on developing
and technology their technology and process capability,
this will only continue throughout 2020.
A strong communication style and good
commercial awareness are increasingly
prominent skills required of all tax
specialists, not least those in indirect tax
skill sets in areas such as technology
and transformation, so opportunities to
command larger salaries will open up.
Typically, a move should warrant a 10-15%
increase but given the increased demand
for talent, exceptions can be made.
Looking ahead
The role of an indirect tax specialist is
multi-disciplinary and so those looking to
progress in their careers should get out
of their comfort zone and seek exposure
to as many areas as possible. A pure
advisory role can be hard to find, so a
strong indirect tax specialist needs to
have a good understanding across all
competencies within their function. Be
prepared to get involved in hands-on
compliance, technology and process
improvements as well as both internal
and external stakeholder management.

10-15%
given how the spotlight has shifted onto Given that 2020 is likely to be another
operational taxes over recent years. year of demand outweighing supply as tax
functions continue to rebalance their skill
Salary trends mix between direct and indirect taxes,
typical salary 2019 saw an overall 5% increase in the competition for talent is likely to loom
uplift when compensation which we expect to remain large, prompting businesses to sharpen
stable through 2020. As indirect tax their retention and attraction tools.
moving role

Key expectations for 2020

ƒƒ Further growth at the NQ and manager levels
ƒƒ Emphasis will no longer be on just technical advisory skills; technology,
transformation, team/stakeholder management will also become major
areas of focus
ƒƒ More greenfield indirect tax hires

GBP per annum: Base Commerce & Industry Financial Services Professional Services

Manager 47-57k 55-66k 44-54k

Senior Manager 60-75k 66-78k 57-69k

Director 76-100k 79-110k 75-104k

Head of/Partner 102-118k 110-140k 115-150k

In addition to the above, typical package benefits include pension, medical and life insurance.

There are anomalies outside these bandings where exceptional compensation structures apply.
For bespoke salary information, please contact Pure.

12 Pure – UK Salary Guide: Tax 2020

Transfer A resurgence in demand puts TP front and centre for tax leaders

Pricing After a slow 2018, the TP market had a return to form in 2019, enjoying the
status of one of tax’s most in demand specialisms. There were two major
contributing factors to this.

Firstly, the growth in TP teams that
occurred at the onset of BEPS came
full circle, and leaders and their teams
Heads of tax started to look for their next challenge.
are, almost This created natural attrition and a
corresponding need to replace staff.
without
Secondly, the focus on tax operations
exception, instigated a surging demand in
highlighting several areas, most acutely TP.
TP as a major Skills in demand
focus for 2020. As ever, technical experience blended with
the ability to communicate and assess the
commercial impact of tax are key skills
needed to succeed in today’s world. As
with indirect tax, this is very pertinent
in TP given the operational angle and
level of business partnering required.
in 2019, and saw significant salary
increases as a result. This was particularly
true in financial services institutions.
In 2020, candidates moving role can
expect a 10-15% uplift, whilst those
staying can expect around 6%.
Looking ahead
Heads of tax are, almost without exception,
highlighting TP as a major focus for 2020.
Demand is therefore expected to be high
throughout the year, whether that be
making a first time hire through to further
enhancing the existing capability within a
dedicated team or, of course, the expected
appetite from the accounting and law firms.

10-15% Salary trends

TP experts working closely with technology
specialists and advisors had a material
typical salary impact on the performance of tax functions
uplift when
moving role

Key expectations for 2020

ƒƒ C
ontinuing demand at all levels driven by supply chain, operational and
outside influences
ƒƒ Greater interaction on the analytics side between TP and technology teams
ƒƒ Beefing up of TP teams amongst all the advisory firms

GBP per annum: Base Commerce & Industry Financial Services Professional Services

Manager 62-79k 64-80K 54-68k

Senior Manager 78-98k 83-102k 73-104k

Director 98-144k 105-149k 115-180k

Head of/Partner 142-159k+ 144-166k 180k+

In addition to the above, typical package benefits include pension, medical and life insurance.

There are anomalies outside these bandings where exceptional compensation structures apply.
For bespoke salary information, please contact Pure.

puresearch.com 13
Human Changes to landscape fuelling growth

Capital The gig economy, apprenticeship levy and flexible remuneration cultivated
strong demand for specialist human capital advice in 2019. At the same time,
the Big 4 and wider consulting market invested significantly in employment tax
and reward functions, all of which meant that hiring was busy across all levels.

Technology remained at the forefront, with
the large accounting firms focusing heavily
…demand on automation and data analytics in order
across core to provide effective solutions in the new
world of work, while compensating for
global mobility the loss of other traditional service lines.
and expatriate Overall, demand across core global mobility
and expatriate tax functions was often
tax functions related to succession planning, portfolio
was often management and employee turnover.
related to With a skills shortage already presenting
challenges when hiring, this increased
succession requirement for human capital
planning, professionals meant that demand
was at an all-time high in 2019.
portfolio
management Skills in demand
Hiring managers focused on soft skills
and employee related to stakeholder engagement, change
turnover management and a balance of strategy
development and operational excellence.
This was driven not only by the need to
manage risk, but also to capitalise on
opportunities and prove the added value
of the function, while the importance of
solid technical foundations remained.
benefits. We also saw the larger firms offer
specialist pay grades outside of banding to
attract those with hard to come by skill sets.
Currently all signs point to a continued rise in
salaries at manager grade and above in 2020.
Looking ahead
Talent acquisition needs within industry
should remain strong throughout 2020,
with many greenfield roles and others
part of team development initiatives. The
majority of roles will most likely retain
coverage across the entire people services
tax umbrella, but with an employment tax
bias. Professional services firms at the entry
level have begun to increase their intake
and have reskilled current employees from
private client and mobility into specialist
people services tax areas. This may
therefore reduce the need at a junior level.
Whilst there are numerous opportunities,
candidates looking to future proof their
career should consider focusing on
advisory skills – especially if they are in
a heavy compliance role. Due to MTD

5-25%
and the cost of compliance, firms will
continue to outsource their compliance
Salary trends
function which could potentially result in
2019 saw a dramatic increase in salaries.
fewer pure compliance-oriented roles.
This began with the smaller firms, who have
typical salary little need to follow salary bandings, offering
uplift when a significant uplift and often matching Big 4
moving role

Key expectations for 2020

ƒƒ Increasing talent shortage at manager and above, along with an increase in
greenfield further hampering recruitment at manager grade
ƒƒ A broadening of candidate skill sets as clients look for a ‘one stop shop’
function to people services
ƒƒ Salaries to continue to increase as firms continue to grow

GBP per annum: Base Commerce & Industry Financial Services Professional Services

Manager 65-85k 65-85k 55-72k

Senior Manager 75-95k 80-100k 73-110k

Director 90-120k 90-130k 100-220k

Head of/Partner 110-200k 120-250k 200-500k

In addition to the above, typical package benefits include pension, medical and life insurance.

There are anomalies outside these bandings where exceptional compensation structures apply.
For bespoke salary information, please contact Pure.

14 Pure – UK Salary Guide: Tax 2020

Private Client Shortage of talent drives salary increase
Private client tax recruitment remained busy throughout 2019, with a
noticeable skills shortage of those at manager level with an international client
advisory focus. There was a considerable increase in hiring activity as the Big
4 continued to recruit and the smaller firms grew at a significant rate, all of
which has diminished the talent available in the market. This is at the same
Employers time as several acquisitions of smaller firms by boutiques with significant
looking to capital and a merger in the Top 10, which led to an increase in movement.
hire in this The introduction of MTD has decreased the Salaries will continue to rise in 2020.
competitive need for personal tax compliance in smaller Grades below manager may be affected by
market must firms, as clients take cost into consideration.
Those firms which focus on a high net worth
a higher rate of employment at graduate
level, with the larger firms ramping up
consider that, (HNW) client base have been less effected, recruitment to cope with the anticipated
whilst salary as their client base has more complex
affairs and will look to their advisors to
future demand in private client tax.

is a significant continue to complete their returns. Looking ahead

factor in Skills in demand
successfully All of this means that those with non-domicile
acquiring talent, experience were in high demand across all
levels. Demand was also high for those who
candidates are have worked with PE or fund clients from a
focusing more private client tax perspective.
and more on PE and fund houses continue to grow
and the partners are looking to external
other benefits advisors for support on their complex
tax enquiries. This led to substantial
growth in private client tax advisors
joining M&A and transactions teams
across the larger practice firms.
Private client professionals have good
cause to be optimistic throughout 2020.
We expect the market to continue its high
levels of activity, with continued growth as
firms look to hire. This is despite uncertainty
around how MTD will affect the area; all
signs point to a growing market in 2020
with an ever-growing skill-shortage.
Candidates should concentrate on
international advisory with a HNW
client base which may not be overly
affected by the volatility within the
UK. Employers looking to hire in this
competitive market must consider that,

5-25%
whilst salary is a significant factor in
Salary trends successfully acquiring talent, candidates
The skills shortage pushed salaries up are increasingly focusing on other benefits.
throughout 2019. As in human capital,
typical salary smaller firms with more flexibility offered
out of bandings salaries which meant
uplift when that the Big 4 had to follow suit.
moving role

Key expectations for 2020

ƒƒ A rising skills shortage as firms compete for the top talent
ƒƒ An increase in private client advisory along with increasing tax investigations
as HMRC looks to further investigate HNW individuals’ tax affairs
ƒƒ Salary growth, with smaller firms paying outside of traditional bandings

GBP per annum: Base Financial Services Professional Services

Manager 55-72k 55-72k

Senior Manager 73-115k 73-115k
Director 100-220k 100-220k
Head of/Partner 200-500k 200-500k

Family Office range: £70-250k. Family Office roles vary significantly in terms of scale of the role and size of office and
it is therefore difficult to offer specific salary ranges.

In addition to the above, typical package benefits include pension, medical and life insurance.

There are anomalies outside these bandings where exceptional compensation structures apply.
For bespoke salary information, please contact Pure.

puresearch.com 15
Interim Roles IR35 to change the nature of contracting
2019 saw a robust and thriving UK interim tax market, with a noticeable
increase in roles throughout the year both on daily rates and fixed term
contracts (FTC). This was largely driven by continued changes within
regulation, corporate restructures and M&A activity, as well as demand for
experienced international tax senior managers and directors to run special
projects for the head of tax.

This is in addition to clients looking high demand in 2019, particularly at

to contractors to provide immediate manager and senior manager level.
support when permanent recruitment
processes prove to be protracted for, in Salary trends
many cases, already under resourced Remuneration within corporate tax and
tax teams. Against the backdrop of a compliance and reporting remained
continued improvement in the quality and relatively flat in 2019, whilst those in
breadth of the candidate pools on offer international tax and indirect tax enjoyed
giving clients confidence when hiring, increases. Antipodean candidates, in
the contractor market is an increasingly many cases, obtained an increase of 25%
enticing prospect for businesses. on rates in 2018. Demand for ex-heads
of tax and ex-partners increased, either
The majority of the Big 4 have now
for special projects or for ‘babysitting’
launched their flexible contractor resource
head of roles, and thus contractors
programme, offering either contractor
here commanded rates in line with
resource internally to their own tax teams
previous compensation packages.
or to their clients (of which Pure have
been providing the contractor bench
Looking ahead
in the majority of cases). This led many
In 2020 IR35 could impact the interim
who had not considered interim work
market in a variety of ways, all of which
before to leave their permanent roles
suggest an increase in both candidate
and take up a career in contracting.
rate and charge rate to clients. If the pool
decreases in size, which may happen
Skills in demand
should contractors decide that without
Corporate tax compliance and reporting
the benefit of operating as a personal
was in demand throughout 2019, either to
service company then a permanent role and
cover seasonal peaks and deadlines or for
benefits package may be more attractive,
those hard to come by individuals that can
then interims will in turn demand a higher
also support a business in transforming
rate due to the shortage of in supply skills.
their technology platform and process.
There was a particularly high demand for Clients must bear in mind the IR35 changes
remote working compliance roles for the when setting the budget for an interim
Big 4, on either a full or part-time basis. role; we expect to see an increase in
FTC roles as a result. Contractors taking
Increased M&A activity meant for
their first role should be flexible and
more specific project management
open to different sectors, role and rate.
roles, and therefore greater demand for
However, once a solid 6 months has been
experienced senior interims with the ability
established on your CV (especially if it is
to both build and implement a project
the first time in-house) you can expect to
plan and influence key stakeholders.
increase your rate in some cases by 20%.
Indirect tax contractors also enjoyed

Key expectations for 2020

ƒƒ Increase within professional services hiring
ƒƒ More senior level interims covering head of tax roles or key projects, as
candidates seek interesting projects and flexibility prior to retirement
ƒƒ Increase in FTC roles as employers look to manage interim recruitment budget
with the introduction of IR35 off-payroll legislation to the private sector

16 Pure – UK Salary Guide: Tax 2020

Salary Guide

GBP per day Compliance / Reporting International Tax M&A / Special Projects

Assistant Manager 300-400 300-400 350-450

Manager 400-500 450-550 500-650

Senior Manager 500-700 550-750 600-900

Director 650-800 650-900 650k-1.1k

Head of Tax 750-1.5k 750-1.5k 750-1.5k

There are anomalies outside these bandings where exceptional compensation structures apply.
For bespoke salary information, please contact Pure.

20%
typical salary uplift when moving role

Clients must bear in mind the IR35 changes when

setting the budget for an interim role; we expect
to see an increase in FTC roles as a result

puresearch.com 17
Key contacts At Pure we strive to maintain a high quality of service, adding
value for our clients outside of immediate hiring needs,
and providing bespoke career advice for our candidates.
We would like to thank all who continue to partner with us.

For a more in-depth overview about the market, tailored salary benchmarking,
or to discuss your hiring needs, please contact:

Ewen Burns Michael Johnson

Managing Director, UK Tax Practice Commerce & Industry
ewenburns@puresearch.com michaeljohnson@puresearch.com
+44 (0)20 7429 4468 +44 (0)20 7429 4405

Paul Kempton Una Ward

Financial Services Professional Services
paulkempton@puresearch.com unaward@puresearch.com
+44 (0)20 7429 4416 +44 (0)20 7429 4415

Lee Redding Ben Shepherd

Private Client and Human Capital Indirect Tax
leeredding@puresearch.com benshepherd@puresearch.com
+44 (0)20 7429 4431 +44 (0)20 7429 4480

Lorna Blair
Interim Tax
lornablair@puresearch.com
+44 (0)20 7429 4464

Please note: Salary ranges are based on information provided by Pure Recruitment Group Ltd clients, candidates and
other sources and as a result are approximate guides only. They are indicative market ranges and are dependent on variable
factors, including but not limited to experience level, market conditions, company size, industry sector and job scope.

Disclaimer: Pure Recruitment Group Ltd accepts no responsibility for any action taken or not taken in reliance on the
information provided. No warranties, expressed or implied, statutory or otherwise are given to the extent permissible
under the relevant legislation. The contents are protected by copyright.

18 Pure – UK Salary Guide: Tax 2020

About Pure Established in 1999, Pure is a privately-owned search and
recruitment firm. We find the next leaders for businesses
across the globe.

Like the people we place and the companies they join, we’re experts who are passionate
about what we do. We serve clients in financial services, professional services and
commerce & industry, across our specialist practice areas:

ƒƒ Tax ƒƒ Compliance ƒƒ Treasury

ƒƒ Legal ƒƒ Global Markets ƒƒ Human Resources
ƒƒ Finance ƒƒ Risk ƒƒ Technology

Each Pure consultant focuses on one of these practice areas, combining recruitment
expertise and specialist market insight to connect top talent with leading businesses.
They own every role from inception to completion, hiring quality, at pace, maximising
value over cost. And we align our people, approach and pricing to suit every brief,
so the individual shines, businesses thrive and commercial ambitions progress.
We do this from our offices in London, Hong Kong, Singapore and New York.

Our services
ƒƒ Search ƒƒ Interim solutions ƒƒ Team builds
ƒƒ Recruitment ƒƒ Succession planning ƒƒ First time
ƒƒ Research ƒƒ Career guidance in-house hires
ƒƒ Consultancy ƒƒ Industry mapping ƒƒ Competitor profiling
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