What factors influence the salary of a Chief Financial Officer?
Highly experienced CFOs, especially those with over 5 years in the role, often command higher salaries due to their extensive expertise and the strategic value they bring to an organisation.
Qualifications
For a CFO looking to enhance their earning potential, pursuing advanced qualifications, such as ACCA, ACA, or an MBA, can be beneficial. Additionally, continuous learning through workshops, seminars, and staying ahead of industry trends can also contribute to a higher CFO salary UK.
Industry
Industries such as Banking & Financial Services often have higher revenue streams, enabling them to offer competitive compensation packages to those with specialised skills. Commerce & Industry generally has broader salary ranges, covering a diverse array of businesses beyond the financial sector.
A Chief Financial Officer working in Banking & Financial Services can earn up to £364,000, while those in Commerce & Industry might earn 17% less, at £300,000.
Company size
Larger corporations tend to have more complex financial operations and higher budgets, which in turn can provide competitive salaries for their CFOs.
A qualified CFO in Commerce & Industry within a medium enterprise (with a headcount of 50 – 250) can offer a salary range of £100,000 – £190,000, whereas a large enterprise (with a headcount of 250+) can offer a salary range of £190,000 – £300,000.
Location
Salaries are typically higher in major UK cities where the cost of living is elevated, and the demand is greater. For example, a CFO salary London might range between £100,000 and £364,000, whereas those working in Merseyside might earn between £80,000 and £220,000.