BusinessCompany NewsGermany presents a challenge

Germany presents a challenge

John Griffith-Jones and his senior management team will be brushing up on their German this week after the announcement of the firm’s merger

The German market, like the UK, is dominated by a few firms. According to
figures from Ernst & Young in Germany, KPMG holds a huge 50% of DAX 30
audits, compared with 30% for PricewaterhouseCoopers. In the mid-market and
technology sectors, that dominance is less pronounced.

PwC and KPMG are the two largest firms in Germany, with the former turning
over 1,100m euros (£742m), and KPMG 1,040m euros.

KPMG makes most of its money in Germany from audit, which is worth 526m
euros. The tax sector earns the firm 222m euros, and advisory 292m euros. The
broader base of the UK firm, and its cross-selling, could be one area it can add
value.

Experts on the Big Four’s activities say that UK audit fees tend to be higher
than German audit fees, and profitability higher as a result.

Related Articles

BDO replaces Deloitte as Mitie auditor

Audit BDO replaces Deloitte as Mitie auditor

3m Emma Smith, Managing Editor
CVR Global appoints partner in London office

Company News CVR Global appoints partner in London office

7m Alia Shoaib, Reporter
FTSE100 failing to provide adequate ethics information

Company News FTSE100 failing to provide adequate ethics information

7m Alia Shoaib, Reporter
Moore Stephens recruits new private client partner

Accounting Firms Moore Stephens recruits new private client partner

10m Emma Smith, Managing Editor
Magma Group announces merger, partner promotions

Accounting Firms Magma Group announces merger, partner promotions

10m Emma Smith, Managing Editor
BDO on ‘recruitment spree’ with multiple partner appointments

Accounting Firms BDO on ‘recruitment spree’ with multiple partner appointments

10m Emma Smith, Managing Editor
Brand strength leads to fee income growth for RSM

Accounting Firms Brand strength leads to fee income growth for RSM

10m Emma Smith, Managing Editor
Mazars strengthens audit team with partner appointment

Accounting Firms Mazars strengthens audit team with partner appointment

10m Emma Smith, Managing Editor