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United Kingdom - Accountancy 0183 - 0415 - 2009
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INDUSTRY PROFILE
Accountancy in
the United Kingdom
Reference Code: 0183-0415
Publication Date: September 2010
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EXECUTIVE SUMMARY
United Kingdom - Accountancy 0183 - 0415 - 2009
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EXECUTIVE SUMMARY
Market value
The United Kingdom accountancy market shrank by 1.8% in 2009 to reach a value of $14,175.8 million.
Market value forecast
In 2014, the United Kingdom accountancy market is forecast to have a value of $17,447.7 million, an
increase of 23.1% since 2009.
Market segmentation I
Audit is the largest segment of the accountancy market in the United Kingdom, accounting for 48.3% of
the market's total value.
Market segmentation II
The United Kingdom accounts for 14.7% of the European accountancy market value.
Market rivalry
Buyers can vary in size but includ many medium and large businesses, which strengthens buyer power
considerably. The "big four" accountancy firms are established in this market, alongside some second-tier
and smaller players. The complex accounting and auditing needs of the most lucrative clients weaken
buyer power. IT and skilled employees are important inputs in this market, and supplier power is boosted.
Moderate market growth encourages market entry and tends to weaken rivalry to some degree, despite
the difficulty of competing with the largest players.
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CONTENTS
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TABLE OF CONTENTS
EXECUTIVE SUMMARY 2
MARKET OVERVIEW 7
Market definition 7
Research highlights 8
Market analysis 9
MARKET VALUE 10
MARKET SEGMENTATION I 11
MARKET SEGMENTATION II 12
FIVE FORCES ANALYSIS 13
Summary 13
Buyer power 14
Supplier power 15
New entrants 16
Substitutes 18
Rivalry 19
LEADING COMPANIES 20
Deloitte Touche Tohmatsu 20
Ernst & Young International 22
KPMG International 24
PricewaterhouseCoopers 25
MARKET FORECASTS 27
Market value forecast 27
MACROECONOMIC INDICATORS 28
APPENDIX 30
Methodology 30
Industry associations 31
Related Datamonitor research 32
Disclaimer 33
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CONTENTS
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ABOUT DATAMONITOR 34
Premium Reports 34
Summary Reports 34
Datamonitor consulting 34
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CONTENTS
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LIST OF TABLES
Table 1: United Kingdom accountancy market value: $ million, 200509 10
Table 2: United Kingdom accountancy market segmentation I:% share, by value, 2009 11
Table 3: United Kingdom accountancy market segmentation II: % share, by value, 2009 12
Table 4: Deloitte Touche Tohmatsu: key facts 20
Table 5: Ernst & Young International: key facts 22
Table 6: KPMG International: key facts 24
Table 7: PricewaterhouseCoopers: key facts 25
Table 8: United Kingdom accountancy market value forecast: $ million, 200914 27
Table 9: United Kingdom size of population (million), 200509 28
Table 10:
United Kingdom gdp (constant 2000 prices, $ billion), 200509 28
Table 11: United Kingdom gdp (current prices, $ billion), 200509 28
Table 12: United Kingdom inflation, 200509 29
Table 13: United Kingdom consumer price index (absolute), 200509 29
Table 14: United Kingdom exchange rate, 200509 29
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CONTENTS
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LIST OF FIGURES
Figure 1: United Kingdom accountancy market value: $ million, 200509 10
Figure 2: United Kingdom accountancy market segmentation I:% share, by value, 2009 11
Figure 3: United Kingdom accountancy market segmentation II: % share, by value, 2009 12
Figure 4: Forces driving competition in the accountancy market in the United Kingdom, 2009 13
Figure 5: Drivers of buyer power in the accountancy market in the United Kingdom, 2009 14
Figure 6: Drivers of supplier power in the accountancy market in the United Kingdom, 2009 15
Figure 7: Factors influencing the likelihood of new entrants in the accountancy market in the
United Kingdom, 2009 16
Figure 8: Factors influencing the threat of substitutes in the accountancy market in the United
Kingdom, 2009 18
Figure 9:
Drivers of degree of rivalry in the accountancy market in the United Kingdom, 2009 19
Figure 10: United Kingdom accountancy market value forecast: $ million, 200914 27
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MARKET OVERVIEW
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MARKET OVERVIEW
Market definition
The accountancy market consists of revenues generated by firms engaged in designing, preparing andauditing accounting records. Income from tax, auditing, and advisory service provision is included. For
Japan, the market covers certified public accountant firms only. Any currency conversions used in the
creation of this report have been calculated using constant 2009 annual average exchange rates.
For the purposes of this report, Europe consists of Western Europe and Eastern Europe.
Western Europe comprises Belgium, Denmark, France, Germany, Italy, the Netherlands, Norway, Spain,
Sweden, and the United Kingdom.
Eastern Europe comprises the Czech Republic, Hungary, Poland, Romania, Russia, and Ukraine.
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MARKET OVERVIEW
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Research highlights
The UK accountancy market had total revenue of $14,175.8 million in 2009, representing a compound
annual growth rate (CAGR) of 2.7% for the period spanning 2005-2009.
The audit segment was the market's most lucrative in 2009, with total revenue of $6,847.2 million,
equivalent to 48.3% of the market's overall value.
The performance of the market is forecast to accelerate, with an anticipated CAGR of 4.2% for the five-
year period 2009-2014, which is expected to drive the market to a value of $17,447.7 million by the end of
2014.
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MARKET OVERVIEW
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Market analysis
The UK accountancy market fell into decline in 2009, but the market is expected to return to growth and
accelerate throughout the forecast period.
The UK accountancy market had total revenue of $14,175.8 million in 2009, representing a compound
annual growth rate (CAGR) of 2.7% for the period spanning 2005-2009. In comparison, the French and
German markets grew with CAGRs of 1.8%, over the same period, to reach respective values of
$14,972.4 million and $9,241.2 million in 2009.
The audit segment was the market's most lucrative in 2009, with total revenue of $6,847.2 million,
equivalent to 48.3% of the market's overall value. The tax segment contributed revenue of $4,707.4
million in 2009, equating to 33.2% of the market's aggregate value.
The performance of the market is forecast to accelerate, with an anticipated CAGR of 4.2% for the five-
year period 2009-2014, which is expected to drive the market to a value of $17,447.7 million by the end of
2014. Comparatively, the French and German markets will grow with CAGRs of 1.7% and 0.6%respectively, over the same period, to reach respective values of $16,261.5 million and $9,542.7 million in
2014.
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MARKET VALUE
United Kingdom - Accountancy 0183 - 0415 - 2009
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MARKET VALUE
The United Kingdom accountancy market shrank by 1.8% in 2009 to reach a value of $14,175.8 million.
The compound annual growth rate of the market in the period 200509 was 2.7%.
Table 1: United Kingdom accountancy market value: $ million, 200509
Year $ million million million % Growth
2005 12,732.2 8,168.9 9,156.6
2006 13,290.7 8,527.2 9,558.3 4.4%
2007 13,850.7 8,886.5 9,961.0 4.2%
2008 14,432.5 9,259.7 10,379.4 4.2%
2009 14,175.8 9,095.1 10,194.8 (1.8%)
CAGR: 200509 2.7%
Source: Datamonitor D A T A M O N I T O R
Figure 1: United Kingdom accountancy market value: $ million, 200509
Source: Datamonitor D A T A M O N I T O R
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MARKET SEGMENTATION I
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MARKET SEGMENTATION I
Audit is the largest segment of the accountancy market in the United Kingdom, accounting for 48.3% of
the market's total value.
The tax segment accounts for a further 33.2% of the market.
Table 2: United Kingdom accountancy market segmentation I:% share, by value, 2009
Category % Share
Audit 48.3%
Tax 33.2%
Advisory 18.5%
Total 100%
Source: Datamonitor D A T A M O N I T O R
Figure 2: United Kingdom accountancy market segmentation I:% share, by value, 2009
Source: Datamonitor D A T A M O N I T O R
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MARKET SEGMENTATION II
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MARKET SEGMENTATION II
The United Kingdom accounts for 14.7% of the European accountancy market value.
France accounts for a further 15.6% of the European market.
Table 3: United Kingdom accountancy market segmentation II: % share, by value, 2009
Category % Share
France 15.6%
United Kingdom 14.7%
Germany 9.6%
Spain 8.5%
Italy 6.1%
Rest of Europe 45.5%
Total 100%
Source: Datamonitor D A T A M O N I T O R
Figure 3: United Kingdom accountancy market segmentation II: % share, by value, 2009
Source: Datamonitor D A T A M O N I T O R
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FIVE FORCES ANALYSIS
United Kingdom - Accountancy 0183 - 0415 - 2009
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FIVE FORCES ANALYSIS
The accountancy market will be analyzed taking accountancy firms as players. The key buyers will be
taken as companies and individual consumers, and providers of software, information technology and
office equipment as the key suppliers.
Summary
Figure 4: Forces driving competition in the accountancy market in the United Kingdom, 2009
Source: Datamonitor D A T A M O N I T O R
Buyers can vary in size but includ many medium and large businesses, which strengthens buyer power
considerably. The "big four" accountancy firms are established in this market, alongside some second-tier
and smaller players. The complex accounting and auditing needs of the most lucrative clients weaken
buyer power. IT and skilled employees are important inputs in this market, and supplier power is boosted.
Moderate market growth encourages market entry and tends to weaken rivalry to some degree, despite
the difficulty of competing with the largest players.
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FIVE FORCES ANALYSIS
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Buyer power
Figure 5: Drivers of buyer power in the accountancy market in the United Kingdom, 2009
Source: Datamonitor D A T A M O N I T O R
Buyers can vary in size but include many medium and large businesses, which strengthens buyer power
considerably. For businesses, the service is a necessity (for example, most companies will be legally
required to engage independent auditors), while it is less so for most private individuals. Four majorplayers dominate the accountancy market: PriceWaterhouseCoopers, KPMG, Deloitte Touche Tohmatsu,
and Ernst & Young. For example, 99 of the FTSE 100 companies (all listed on the London Stock
Exchange) are audited by these "big four" accountancy firms. There is limited choice of players for the
largest corporate clients, as they will tend to need accountants that can offer a wide range of
competencies. A multinational client will need guidance on the tax regimes in all the countries it operates
in, for example. Also, to maintain investor confidence, a corporation needs to engage an accountancy firm
with a high reputation for probity, which may tend to favor the more well-known majors; and it may be
advantageous to retain one accountancy firm, which has a deep understanding of the client the national
economy are particularly restricted in their choice of auditor. While auditors in the UK are appointed
annually, there is a strong tendency for buyers to avoid switching from existing accountancy firms. Buyerpower is strengthened by the fact that accountants as such can rarely integrate forwards into their clients'
businesses, while clients can carry out some accounting functions in-house. Overall, buyer power is
moderate.
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FIVE FORCES ANALYSIS
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Supplier power
Figure 6: Drivers of supplier power in the accountancy market in the United Kingdom, 2009
Source: Datamonitor D A T A M O N I T O R
Suppliers in the accountancy market consist of specialized accountancy software publishers. These
provide computer software that records and processes accounting transactions. This is a necessity for
most accounting firms, and varies in its cost and complexity. Furthermore, large accountancy firms needmore specialized technology, and therefore rely on a limited range of suppliers to provide this. However,
the wide range of low end and high end products on offer, such as ERP software, weakens supplier
power. Other suppliers to accountancy firms will include manufacturers of PCs and office equipment.
Accountancy firms require a reliable ICT infrastructure in place and therefore often commit to one
suppliers product as they do not want to spend the money training staff on new software, again putting
suppliers in a strong position through high switching costs. It is also vital for players in this market to
recruit and retain highly skilled employees. Changing the labor supply (that is, experiencing staff turnover)
incurs switching costs. This is not just the one-off expenditure needed to recruit replacements, but also
the amount spent on training and development of staff, which is not recovered when an employee moves
on, and may in fact benefit a competitor that takes on the same person. Overall, supplier power ismoderate.
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FIVE FORCES ANALYSIS
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New entrants
Figure 7: Factors influencing the likelihood of new entrants in the accountancy market in the
United Kingdom, 2009
Source: Datamonitor D A T A M O N I T O R
The UK accountancy market may be entered by an individual accountant establishing his/her own
practice. For such a low-key entry, there is relatively little capital outlay or proprietary knowledge involved.However, entering the high end of the market (e.g. auditing the FTSE 100 companies) is considered
difficult, due to the dominance of the "big four" incumbents. The leading companies have strong brand
reputations. Competing for the largest clients is difficult except for the major accountancy firms, which can
offer an appropriate range of expertise. Such competencies may not always constitute "proprietary
knowledge" in the strict sense, since information on tax laws, accounting principles, industry practices, etc
are usually in the public domain, but may have a function akin to intellectual property for the major
accountancy firms, especially since the replication of such competencies can be costly, and constitutes a
barrier to market entry: companies will need to be aware of and abide by industry practices in the UK. The
UK Generally Accepted Accounting Principles (UK GAAP) are the overall body of regulation establishing
how company accounts must be prepared in the United Kingdom. This includes not only accountingstandards, but also UK company law. Companies also may come under investigation by the Accountancy
and Actuarial Discipline Board (AADB). For example, in 2010 Ernst & Young were under investigation for
the auditing of the investment bank Lehman Brothers accounts in 2007.
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FIVE FORCES ANALYSIS
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The UK government is currently considering the introduction of proportionate liability for auditors. When
the new legislation is implemented, it should make the UK market more attractive to new entrants, by
reducing the risks for auditing firms. (Belgium, Germany, and three other European countries already
have capped liability for auditors.) Overall, there is a strong likelihood of new entrants.
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FIVE FORCES ANALYSIS
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Substitutes
Figure 8: Factors influencing the threat of substitutes in the accountancy market in the United
Kingdom, 2009
Source: Datamonitor D A T A M O N I T O R
While there are no obvious substitutes for the functions offered by accountants, specialized accountancy
firms do face the threat of substitutes. For private individuals, "DIY" accounting is often a possibility. Thissubstitute avoids costs in terms of fees paid to a third-party accountant, but may incur other costs, such
as the time absorbed by the process, and the greater possibility of mistakes being made. There may also
be switching costs, such as the need to purchase appropriate software. In a similar way, corporate clients
can carry out many accounting processes in-house. However, for companies with complex business
operations, perhaps covering several tax- and reporting jurisdictions, the costs of maintaining a suitably
skilled in-house team will rise. Also, the important function of auditing cannot by its nature be performed
in-house. Overall, the threat of substitutes is weak.
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FIVE FORCES ANALYSIS
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Rivalry
Figure 9: Drivers of degree of rivalry in the accountancy market in the United Kingdom, 2009
Source: Datamonitor D A T A M O N I T O R
The "big four" players have a strong presence in the UK, particularly in the large public corporation
auditing market, a very concentrated market segment. However, there are also many smaller firms, which
increases rivalry. This is enhanced by the fact that many players are very similar to each other. Even forlarge players that have diversified beyond accountancy into areas such as corporate advisory services,
accountancy is quite central to the business of most players in the market. Further, although accountancy
firms have few specialized physical assets to dispose of, their staff will tend to have specialized skills.
Exiting the accountancy market would therefore incur costs: IT systems could be re-deployed in another
business area, but laying off a large staff and recruiting a new one with different skills is not a trivial
exercise. Growth has been better than in markets such as France and Italy, although comparable to that
of Spain. Stronger growth tends to reduce rivalry between market players. Overall, rivalry in the UK
market is assessed as strong.
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LEADING COMPANIES
United Kingdom - Accountancy 0183 - 0415 - 2009
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LEADING COMPANIES
Deloitte Touche Tohmatsu
Table 4: Deloitte Touche Tohmatsu: key facts
Head office: 1633 Broadway, New York, New York 10019 6754, USA
Telephone: 1 212 489 1600
Fax: 1 212 489 1687
Website: www.deloitte.com
Financial year-end: May
Source: company website D A T A M O N I T O R
Deloitte Touche Tohmatsu is an organization of member firms around the world, providing a broad range
of professional services including audit, tax, consulting and financial advisory services. The company
operates in nearly 150 countries through 70 member firms. The company serves national and middle
market enterprises, public institutions, privately owned companies and public sector organizations. It
provides its services to all major sectors including aviation and transport services; consumer business,
energy and resources, financial services, life sciences and health care, manufacturing, public sector and
technology, and media and telecommunications. The separate units of the company are Deloitte &
Touche; the US accounting arm; and Deloitte Consulting.
Deloitte's services can be categorized into four broad functional areas: audit, consulting, tax and advisory
services.
Deloitte's audit services segment offers audit technology, addresses new regulatory requirements,
incorporates multiple generally accepted accounting principles (GAAP) compliance, and facilitates the
auditor's understanding of business processes, controls, and risks. Its core competencies encompass risk
management, capital markets, control assurance, internal audit, regulatory consulting, and security and
privacy services.
The consulting services of the company range from strategy formulation to technology implementation. It
also offers industry and functional business performance knowledge. The company has consulting
alliances with leading companies such as 3M Company, BEA Systems, HP, IBM, Oracle Corporation,SAP, Siemens Medical Solutions USA and Sun Microsystems.
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LEADING COMPANIES
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The company's tax services include corporate tax, indirect tax, international assignment services,
international tax, mergers and acquisitions (M&A) transaction services, research and development
credits, tax technology solutions and transfer pricing. The company's Global Backbone is locally
delivered, centrally coordinated global tax compliance and reporting service scalable to meet each client's
specific needs.
The advisory services are composed of four global service lines: corporate finance advisory, dispute
consulting/forensic services, reorganization services, M&A transaction services, and valuation services.
The corporate finance advisory unit provides M&A advice to corporate clients, private equity/venture
capital firms, entrepreneurs and governments. It has 90 partners and more than 900 employees. Its main
services include acquisitions and disposals; capital raising-private equity or capital markets; valuations;
strategic and general corporate advice; and business modeling. The dispute consulting/forensic services
range from litigation consulting provided locally and globally to forensic investigations encompassing
fraud and accounting investigations. The reorganization services include lender solutions, restructuring
services, corporate exit management and insolvency services. M&A transaction services provide tax,accounting and advisory services in business combinations to buyers or sellers. Valuation services
provide business valuation, intangible asset valuation, tangible asset advisory services, transaction
advisory, and capital allocation.
The company's Deloitte's Value Initiative has developed tools such as Deloitte's Enterprise Value Map
(EVM), ValueAnalytics, ValuePrint and Project Portfolio Management. Deloitte's Enterprise Value Map
(EVM) identifies business activities and illustrates how each should be aligned to four primary value
drivers: revenue growth, operating margin, asset efficiency, and expectations. ValueAnalytics enables the
financial analyses of key value drivers. ValuePrint is a business case development tool. The Project
Portfolio Management tool assesses individual projects' effectiveness and contribution to value.
The company's local office is located at 2 New Street Square, London EC4A 3BZ, UNITED KINGDOM
Tel.: 44 20 7936 3000 Fax: 44 20 7583 1198
Key Metrics
The company recorded revenues of $26.1 billion during the financial year ended May 2009, a decrease of
4.7% from 2008.
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LEADING COMPANIES
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Ernst & Young International
Table 5: Ernst & Young International: key facts
Head office: 5 Times Square, New York City, New York 10036, USA
Telephone: 1 212 773 3000
Fax: 1 212 773 6350
Website: www.ey.com
Financial year-end: June
Source: company website D A T A M O N I T O R
Ernst & Young International (Ernst & Young) is a global firm that provides a range of services, such as
accounting and auditing, tax advisory, tax reporting and operations, technology and security risk, humancapital, business risk, and transaction advisory services. Ernst & Young also provides legal services in
some countries.
Globally, Ernst & Young focuses on the 13 major industry groups: asset management, automotive,
banking and capital markets, biotechnology, consumer products, insurance, media and entertainment, oil
and gas, pharmaceuticals, real estate (includes construction, hospitality and leisure), technology,
telecommunications and utilities.
Ernst & Young's service lines primarily consist of assurance and advisory business services, taxation, and
transaction advisory services.
The company's assurance and advisory business services encompass three services: assurance, which
includes independent audit of companies financial statements and other attestation services; risk
advisory services, which include advisory services for risk management; and finance and performance
management services, which provides advisory services on finance function strategy, organization design
and development, and operational effectiveness.
Taxation covers personal, corporate and indirect tax and consulting services. The division's services
include tax compliance assistance and review, tax compliance outsourcing, tax advisory services, and tax
department performance improvement.
Transaction advisory services encompass services in relation to mergers and acquisitions, divestitures,
strategic finance, corporate restructuring, business modeling, working capital management, and valuation.
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LEADING COMPANIES
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In addition to these services, Ernst & Young also offers assistance in protecting clients' IT assets from
viruses, attacks, and internal security threats, as well as providing assistance with capital markets advice,
tax-effective supply chain planning, compensation design, M&A planning and post-merger integration
services, and legal advisory services.
Key Metrics
The company recorded revenues of $21.4 billion during the financial year ended June 2009, a decrease
of 6.8% over 2008.
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LEADING COMPANIES
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KPMG International
Table 6: KPMG International: key facts
Head office: Burgemeester Rijnderslaan 10-20, Amstelveen 1185 MC, NLD
Telephone: 31 20 656 7890
Fax: 31 20 656 7700
Website: www.kpmg.com
Financial year-end: September
Source: company website D A T A M O N I T O R
KPMG International (KPMG) is a global network of professional services firm providing audit, advisory,
and tax services. The company has operations in 148 countries and more than 113,000 professionalsworking in member firms around the world.
KPMG is a Swiss cooperative that operates as an umbrella organization for its member firms. It has
organized its structure into three operating regions: Europe, Middle East, and Africa; the Americas; and
Asia-Pacific.
The company operates through three business divisions: audit, advisory, and tax.
KPMG's audit division provides independent auditing services to companies. The company provides
resources and technological tools necessary to support internal controls. KPMG has established the Audit
Committee Institute (ACI) to provide resources to audit committee members and help them keep pace
with evolving business issues related to governance, audit issues, accounting, and financial reporting.
KPMG's advisory professional services provide advice and assistance to enable companies,
intermediaries, and public sector bodies to mitigate risk and improve performance. It provides risk and
financial advisory services to clients, which helps them create strategies for the longer term.
KPMG's tax services offer services related to tax compliance and managing tax risks. KPMG's tax input is
delivered through a number of global service lines. These include: business tax, international corporate
tax and indirect tax. These services assist clients in fulfilling compliance responsibilities, planning
opportunities, and communicating between markets and regulators.
Key Metrics
The company recorded revenues of $20.1 billion during the financial year ended September 2009, a
decrease of 11.4% from 2008.
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LEADING COMPANIES
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PricewaterhouseCoopers
Table 7: PricewaterhouseCoopers: key facts
Head office: 300 Madison Avenue, 24th Floor, New York, New York 10017United States of America
Telephone: 1 646 471 4000
Fax: 1 646 394 1301
Website: www.pwcglobal.com
Financial year-end: June
Source: company website D A T A M O N I T O R
PricewaterhouseCoopers (PwC) is one of the world's largest professional services firms. PwC is anaccountancy firm that provides services in three lines of business: assurance (including financial and
regulatory reporting), tax, and advisory. PwC is one of accounting's Big Four, along with Deloitte Touche
Tohmatsu, Ernst & Young, and KPMG. The company has operations in 150 countries spanning Europe,
North America and the Caribbean, Asia, Australia and Pacific Islands, the Middle East and Africa, and
South and Central America.
The company's member firms offer services under six divisions: audit and assurance, crisis management,
tax, transactions, human resources, and performance improvement.
The audit and assurance division provides services in financial accounting issues related to matters such
as valuations, pensions and share plans, listings, IFRS conversions, and corporate treasury and company
secretarial functions. This division offers solutions related to Sarbanes Oxley and international financial
reporting standards (IFRS).
Under the crisis management division, PwC offers services related to business recovery, disputes and
investigations. The company's recovery services range from turnaround and restructuring plans to exit
strategies.
Through the tax division, PwC assists businesses, individuals and organizations with tax strategy,
planning, and compliance, whilst also delivering a range of business advisory services. The company
develops comprehensive integrated solutions by combining industry insight with the technical skills of
financial and tax specialists, economists, lawyers and other in-house experts. The company has 23,000
tax professionals in over 140 countries.
The transaction division offers services related to a range of financial transactions such as mergers and
acquisitions, corporate finance, and valuation and strategy.
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LEADING COMPANIES
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The human resource services division offers services across three core disciplines: international
assignments, reward and HR management. The PwC network is one of the world's largest HR advisory
organizations with more than 6,000 professionals in over 100 countries. The HR management includes
Saratoga, one of the leaders in human capital measurement, benchmarking and strategic application of
human capital information.
The performance improvement division focuses on financial effectiveness, IT effectiveness and
governance, risk and compliance business operations of companies.
Key Metrics
The company recorded revenues of $26.2 billion during the financial year ended June 2009 a decrease of
7% from 2008.
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MARKET FORECASTS
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MARKET FORECASTS
Market value forecast
In 2014, the United Kingdom accountancy market is forecast to have a value of $17,447.7 million, anincrease of 23.1% since 2009.
The compound annual growth rate of the market in the period 200914 is predicted to be 4.2%.
Table 8: United Kingdom accountancy market value forecast: $ million, 200914
Year $ million million million % Growth
2009 14,175.8 9,095.1 10,194.8 (1.8%)
2010 14,527.0 9,320.4 10,447.4 2.5%
2011 15,108.0 9,693.1 10,865.2 4.0%
2012 15,786.2 10,128.3 11,352.9 4.5%
2013 16,574.0 10,633.7 11,919.5 5.0%
2014 17,447.7 11,194.3 12,547.8 5.3%
CAGR: 200914 4.2%
Source: Datamonitor D A T A M O N I T O R
Figure 10: United Kingdom accountancy market value forecast: $ million, 200914
Source: Datamonitor D A T A M O N I T O R
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MACROECONOMIC INDICATORS
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MACROECONOMIC INDICATORS
Table 9: United Kingdom size of population (million), 200509
Year Population (million) % Growth
2005 60.4 0.3%
2006 60.6 0.3%
2007 60.8 0.3%
2008 60.9 0.3%
2009 61.1 0.3%
Source: Datamonitor D A T A M O N I T O R
Table 10: United Kingdom gdp (constant 2000 prices, $ billion), 200509
Year Constant 2000 Prices, $ billion % Growth
2005 1,672.0 2.0%
2006 1,719.6 2.8%
2007 1,767.6 2.8%
2008 1,777.2 0.5%
2009 1,689.8 (4.9%)
Source: Datamonitor D A T A M O N I T O R
Table 11: United Kingdom gdp (current prices, $ billion), 200509
Year Current Prices, $ billion % Growth
2005 2,262.8 4.2%
2006 2,430.7 7.4%
2007 2,830.7 16.5%
2008 2,737.4 (3.3%)
2009 2,252.0 (17.7%)
Source: Datamonitor D A T A M O N I T O R
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MACROECONOMIC INDICATORS
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Table 12: United Kingdom inflation, 200509
Year Inflation Rate (%)
2005 2.8%2006 3.2%
2007 4.3%
2008 3.7%
2009 2.2%
Source: Datamonitor D A T A M O N I T O R
Table 13: United Kingdom consumer price index (absolute), 200509
Year Consumer Price Index (2000 =100)
% Growth
2005 112.7 2.8%
2006 116.3 3.2%
2007 121.3 4.3%
2008 125.8 3.7%
2009 128.6 2.2%
Source: Datamonitor D A T A M O N I T O R
Table 14: United Kingdom exchange rate, 200509
Year Exchange rate ($/) Exchange rate (/)
2005 0.5500 0.6837
2006 0.5435 0.6820
2007 0.4999 0.6840
2008 0.5449 0.7973
2009 0.6416 0.8921
Source: Datamonitor D A T A M O N I T O R
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APPENDIX
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APPENDIX
Methodology
Datamonitor Industry Profiles draw on extensive primary and secondary research, all aggregated,analyzed, cross-checked and presented in a consistent and accessible style.
Review of in-house databases Created using 250,000+ industry interviews and consumer surveys
and supported by analysis from industry experts using highly complex modeling & forecasting tools,
Datamonitors in-house databases provide the foundation for all related industry profiles
Preparatory research We also maintain extensive in-house databases of news, analyst
commentary, company profiles and macroeconomic & demographic information, which enable our
researchers to build an accurate market overview
Definitions Market definitions are standardized to allow comparison from country to country. The
parameters of each definition are carefully reviewed at the start of the research process to ensure they
match the requirements of both the market and our clients
Extensive secondary research activities ensure we are always fully up-to-date with the latest
industry events and trends
Datamonitor aggregates and analyzes a number of secondary information sources, including:
- National/Governmental statistics
- International data (official international sources)
- National and International trade associations
- Broker and analyst reports
- Company Annual Reports
- Business information libraries and databases
Modeling & forecasting tools Datamonitor has developed powerful tools that allow quantitative
and qualitative data to be combined with related macroeconomic and demographic drivers to create
market models and forecasts, which can then be refined according to specific competitive, regulatory
and demand-related factors
Continuous quality control ensures that our processes and profiles remain focused, accurate and
up-to-date
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APPENDIX
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Industry associations
Institute of Chartered Accountants in England and Wales
Chartered Accountants' Hall, One Moorgate Place, London EC2R 6EA
Tel.: 44 20 7920 8100Fax: 44 20 7920 0547
http://www.icaew.co.uk/
Institute of Chartered Accountants of Scotland
CA House, 21 Haymarket Yards, Edinburgh EH12 5BH, UK
Tel.: 44 131 347 0100
Fax: 44 0131 347 0105
http://www.icas.org.uk
European Accounting AssociationPlace de Brouckre Plein 31, 1000 Brussels, Belgium
Tel.: 32 2 226 6660
Fax: 32 2 512 1929
http://www.eaa-online.org
Fdration des Experts-Comptables Europens
Avenue d'Auderghem, 22-28/8, B-1040 Brussels, Belgium
Tel.: 32 2 285 4085
Fax: 32 2 231 1112
http://www.fee.be
Association of Chartered Accountants
2 Central Quay, 89 Hydepark Street, Glasgow G3 8BW, United Kingdom
Tel.: 44 141 534 4810
Fax: 44 141 534 4141
http://www.acca.co.uk
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APPENDIX
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Related Datamonitor research
Industry Profile
Accountancy in Belgium
Accountancy in Italy
Accountancy in Netherlands
Accountancy in Spain
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APPENDIX
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Disclaimer
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The facts of this report are believed to be correct at the time of publication but cannot be guaranteed.
Please note that the findings, conclusions and recommendations that Datamonitor delivers will be
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