KPMG aims for European union

KPMG Europe’s joint senior partner has said that the Big Four firm still hopes to bring all its European subsidiaries into a single organisation despite the economic slump.

‘It’s tough but it’s not impossible, John Griffith-Jones told Accountancy Age. ‘The dream is that the other European firms all join.’

KPMG Europe now comprises the UK, German, Swiss and Spanish firms, and the Dutch and Belgian arms have also been brought on board. The firm is understood to be in the middle of talks with
other members, currently at various stages.

There is no set time frame to bring the next target firm on board, but a KPMG spokesman said ‘negotiations were ongoing’.

The Big Four firms, which are currently organised by a network of country affiliates, have begun to integrate country subsidiaries within a single group in the hope of landing bigger contracts and boosting revenues.

After KPMG began moves to join its UK business with overseas members last year, Ernst & Young announced the formation of a new European structure, while PricewaterhouseCoopers unveiled a network of ‘clusters’.

Griffith-Jones was talking after KPMG Europe announced combined European revenues of €3.6bn (£3.3bn) for the year to 30 September 2008, up 3%.

‘We’re in pretty bloody good shape,’ Griffith-Jones added. ‘We’re proud of what we’ve achieved, but we’ve got a lot more to do.’