The 2025 Barclay Simpson Salary Survey & Recruitment Trends Guide: Internal Audit, Assurance & Controls

Contract recruitment in internal audit

The internal audit, assurance and controls contract recruitment market was quiet throughout 2024, except for a brief resurgence in hiring during Q3 after the general election. Sadly, this revival was short-lived, with activity dipping again in the lead-up to Christmas.

Most internal audit teams are currently using interim support primarily to leverage subject matter expertise (54%), with specific projects (15%) and absence cover (10%) far less commonly cited as priorities. There has also been a rise in the number of employers who wish to keep permanent headcounts low (8%), further emphasising the cost-consciousness of organisations in the current climate.

However, it is worth noting that contractors, temporary workers and co-source support remain a valued part of many internal audit, assurance and controls teams. More than half (56%) of employers utilised contractors last year, which was a marked increase from the 46% who said the same the previous year.

“The first nine months of 2024 were undeniably slow for contractors, and we didn’t see much hiring demand until July’s General Election and the interest rate cut in August,” says Andrew Whyte, Associate Director and Head of Interim at Barclay Simpson.

“Q3 was much busier, with a considerable rise in contract job postings, placed candidates and other hiring activity. Typically, we would expect the market to stay relatively busy throughout Q4 as organisations prepare to implement next year’s audit plans, but this was unfortunately not the case.”

Primary reasons for using interim, contract and
co-source staff

In 2025, the number of day rate opportunities has remained broadly flat so far, but we are seeing a substantial rise in fixed-term contract (FTC) jobs. FTCs also seem to be reasonably popular among candidates at the moment – nearly a quarter (23%) of contractors now claim it’s their preferred arrangement. This is not far behind the proportion of people who prefer inside IR35 day rate roles (31%), which may indicate that professionals are seeking more security in a muted market.

54% of internal audit contractors earn day rates of between £500 and £699

On the topic of IR35, the reforms to off-payroll rules made in 2021 continue to have an impact on a sizeable minority of employers and candidates. More than a quarter (28%) of organisations say the changes have affected their ability to engage contractors over the last year, with 11% saying the effect has been significant.

Candidates have reacted to the changes in a variety of ways: 39% have increased their rates for ‘inside’ IR35 roles, while 27% have sought FTCs. Meanwhile, nearly a fifth (19%) of interim workers have considered or accepted permanent jobs as a result of IR35 reforms, a trend that could have long-term implications for the availability of skilled contractors within the internal audit, assurance and controls market.

Key trends in internal audit recruitment

Various political, economic and social forces are shaping the internal audit, assurance and controls markets in ways that affect recruitment. Here, we take a closer look at the trends driving demand today and the factors that could influence hiring in the future.

AI and the audit function 

Earlier this year, the UK government announced it will “turbocharge AI” as part of plans to boost productivity, attract foreign investment and create new jobs. But even without this push, AI has already been making waves in industries across the country. The FRC’s latest Review of Corporate Governance Reporting revealed that 73% of organisations mentioned AI in their most recent annual reports, up significantly from less than half (49%) the previous year.

Within internal audit, AI presents both challenges and opportunities. Auditors must provide assurance that their organisation is properly managing AI risks to the business, but innovative AI tools are also helping the function perform more effectively. For example, many audit departments are using Generative AI (GenAI) platforms, such as ChatGPT, to perform routine tasks more quickly, including drafting initial audit scopes and standard reports. Nearly 40% of teams are planning to invest substantially in GenAI over the next one-to-three years.

However, less than half of CAEs say they have a clear understanding of how AI is being used across their organisation, with only one in five identifying and documenting measures to ensure the accuracy and completeness of AI results. This indicates that audit leaders will need to hire more AI skills into their teams to effectively assess how their organisations are managing AI risks.

Data analytics on the rise

The widespread adoption of data analytics in UK audit teams has been much discussed but slower to arrive than many experts predicted. The Chartered Institute of Internal Auditors (IIA) has even described audit analytics as the “oldest new thing in internal audit”. It’s hard to argue when a third of audit departments still weren’t using any form of data analytics as recently as 2022.

While the rise of data analytics has been more of a slow trickle than a flood, a growing number of small and mid-sized audit teams are hiring dedicated analytics specialists rather than relying on the Big Four consultancies for their data needs.

According to Deloitte, CAEs ranked data analytics as the most important technical skill they will require within the function over the next three years. More than two-thirds (67%) selected analytics as a priority, compared with 51% for root cause analysis and 44% for both risk assessment and risk audit planning/scoping.

Despite this, skills shortages may be hindering employers’ efforts. IIA research reveals that 49% of CAEs believe the biggest barrier to data analytics growth is the lack of existing analytics skills and resources within functions. From a recruitment perspective, we are seeing organisations counter this by hiring data scientists or data specialists who they can then train to perform audits. This gives both an immediate boost to the company’s analytics capabilities, while also enabling data professionals to share their expertise to upskill the audit function.

Restructuring of the audit team

It was a year of restructuring for audit teams in 2024, as the function sought ways to cut costs in an uncertain business environment. Restructuring can take many forms, and we have seen a mix of new insourcing, outsourcing and co-sourcing arrangements being implemented as organisations streamline their operations. Redundancies, where they’ve occurred, have tended to be at the senior end of the market, with delivery-focused staff comprising the bulk of replacement hiring.

While restructuring is an unfortunate consequence of subdued market conditions, it can also be an opportunity for audit teams to reshape the function and become more dynamic in the face of an evolving risk landscape. According to Deloitte, internal audit leaders must rethink traditional approaches and foster innovation within their teams to continue making an impact.

Many functions appear to be succeeding at this already. More than four fifths of CAEs believe internal audit has elevated its position within their organisation over the last three years, although only 14% feel they are reaching their true potential.

However, 60% of CAEs have reported an increase in staff burnout, with a fifth claiming it’s a significant concern for their team. Organisations must therefore ensure audit functions do not stretch themselves too thin in the pursuit of savings. Restructuring should be as much about future capability as immediate cost.

Diversity in internal audit, assurance and controls

At Barclay Simpson, we are committed to building diverse and inclusive workplaces where everyone’s contributions are respected and valued. Recruiters are in a unique position to promote the benefits of equality, diversity and inclusion (EDI) within the world of employment, and we believe agencies should not only embrace these values internally, but also promote and support them across their wider communities.

In our 2025 Internal Audit, Assurance and Controls Salary Guide, we will for the first time be publishing additional diversity-focused data gained from our annual market report surveys in order to provide greater insight into employers’ and candidates’ perspectives on EDI. We intend to follow these trends year on year to track the progress and evolution of EDI policies and attitudes in the workplace.

Greater diversity needed among senior leadership

Candidates and employers agree that the biggest challenge organisations face in creating a diverse and inclusive culture is achieving better representation in leadership and board-level roles. More than half of employers (51%) said improving representation among senior leaders is the main hurdle for internal audit teams. It was also the most commonly cited issue for both men and women, although a greater proportion of women view it as the leading problem (44% versus 32% for men).

Opinions between the sexes tend to diverge when it comes to other barriers for EDI. For example, women were three times more likely than men to consider pay equity the biggest challenge for equality (18% vs 6%, respectively). Conversely, men were twice as likely to have concerns over an organisation’s ability to build a fair hiring process (15% to 7%).

Views on the effectiveness of EDI policies are generally favourable; half of respondents claimed they make a real difference in their workplace. There is also a broad consensus that organisations are demonstrating a strong commitment to equality and inclusion, with 69% of employees agreeing.

Is ‘cultural fit’ impeding inclusion in audit?

For employers, hiring people who share their organisation’s values and goals often helps create a stronger sense of purpose and direction across teams. That’s why cultural fit can – and typically does – play a big role in recruitment decisions.

According to our data, 36% of employers hiring into the internal audit function feel ‘poor cultural fit’ is hampering their ability to recruit the right people. This is up considerably from 21% in 2023, and nearly a quarter (23%) of respondents ranked it as either their first or second biggest challenge at the moment.

There is nothing wrong with valuing team chemistry, and cultural fit is a key part of what makes that possible. However, there is a risk that ‘fit’ becomes code for familiarity, which risks sidelining candidates who bring different perspectives, backgrounds or experiences to the internal audit function. It can also reflect unconscious biases and, over time, teams that are too alike can suffer from groupthink and a lack of new ideas.

Some organisations are now deliberately shifting away from cultural ‘fit’ and focusing instead on cultural ‘add’. In other words, they are looking for people who can expand a team’s perspective, rather than mirror it. While this is a small change in language, it can bring about a big change in thinking by helping employers address biases in their recruitment processes and build more balanced teams.

Employers motivated but face challenges

Enthusiasm for creating fairer, more inclusive workplaces isn’t just high among employees; organisations are also keen to shape meaningful EDI policies. In fact, an overwhelming 97% of employers say equality, diversity and inclusion are important to them. More than three-quarters (77%) feel confident they already have an effective EDI culture.

Nevertheless, more than a third (36%) of professionals took a neutral stance on whether their employer’s EDI policies are effective, suggesting there is still room for improvement. Our data shows that a fear of getting things wrong could be impeding employers’ EDI initiatives, with 16% saying it is their biggest problem. A further 8% say they have insufficient diversity data to support their inclusion efforts.

“While the momentum around diversity may have eased since its peak a few years ago, many employers remain committed to building representative teams,” says Jack Pyle, Executive Consultant at Barclay Simpson.

“In our conversations with employers, there’s still a strong expectation that candidate shortlists reflect a diverse mix of talent.”

For companies serious about EDI, accessing accurate information and insights is crucial. Organisations have a better chance of fostering a sense of belonging and making a positive difference in the workplace by listening to both employees and experts who can provide input on what really matters when it comes to EDI.

If you would like to know more about any of the diversity-related findings in this report or the EDI advice and support we can provide, please contact us today.

Internal Audit, Assurance & Controls
salary and bonus trends

The post-pandemic boom in hiring across internal audit, assurance and controls led to significant salary growth in 2021 and the first half of 2022. However, as we discussed in our 2024 Internal Audit market report, this unprecedented growth was always going to be unsustainable, and starting salaries are now rising at a more controlled pace.

While salary growth has slowed for professionals switching roles over the last year, it still outpaces the average increases for employees who stay with their current employer. Our survey shows that 97% of organisations intend to boost base salaries by less than 5% this year, and only one in 10 employers say they will be paying higher bonuses in 2025.

“When the hiring floodgates opened after the pandemic, competition for skilled auditors was fierce and employers were more willing to meet candidates’ demands. In the current climate, however, salary uplifts have been far more restrained,” says David Hornsby, Director at Barclay Simpson.

“Quite often, the more senior the role, the more flexible an employer is likely to be on salary. Large salary increases are still available at more junior levels though, particularly for candidates who have in-demand skill sets, such as Big Four consultancy experience.”

Outside London and the South East, some candidates are accepting similar or slightly lower pay in exchange for better job security or greater work flexibility. In some cases, this is because they had previously moved into roles further afield under more generous remote working policies but are now struggling with the commute as those policies are scaled back.

Remuneration remains top motivator

Among candidates, little appears to have changed in terms of what is motivating people to consider switching roles. Remuneration has traditionally been the top priority, and this year is no exception, with 51% of candidates moving for better money. This is broadly in line with last year’s results (50%).

Similarly, career development (19%) and work-life balance (16%) ranked second and third, respectively, as they did in our last report, with almost identical percentages in both years. Some interesting variations emerge when responses are split by gender though, with more women prioritising work-life balance (20%) than career development (17%) when choosing roles. Women are also three times more likely than men to accept new internal audit jobs primarily due to better remote working policies (13% versus 4%).

Flexible working is already a major factor in people’s decision-making when weighing up job opportunities, but it could become increasingly prominent as employers begin to expect more office time from their employees. Each year, we ask organisations whether they believe their COVID-era hybrid working policies will remain a long-term feature of their company, and every year this figure has dropped, as our graph below demonstrates.

This is already having an impact on recruitment and retention, with 41% of employers admitting their remote-working policies are making it more difficult to attract skilled candidates. Indeed, more than a third of audit professionals (36%) chose remote or flexible working as the benefit they value most in their job, second only to annual bonuses (53%).

An employer-led market may give companies the upper hand at the moment, but the cyclical nature of recruitment means the tide will eventually turn. Employers that are unwilling to compromise on remote and flexible working benefits could struggle to attract and retain the best talent in a market where skilled candidates are in high demand and short supply.

Internal audit, assurance and controls salaries