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Salary survey: an end to pay rises?
Salaries have edged up this year but, with faltering workloads, rock-bottom fees and rising taxes on employers, experts fear they are unlikely to go any higher. Richard Waite looks at the latest data and what it says about the state of the profession It has been a year of small improvements but tougher times are loomingAt first sight, the findings from the latest architectural salary survey, shared exclusively with the AJ by compiler 9B Careers, seem rosy enough. With an average increase of 3.5 per cent, the professions pay is growing faster than UK inflation (currently 2.3 per cent). The across-the-board rise reported by the 2,700 respondents who completed the annual bellwether survey was also larger than in 2023, when salaries went up just 1.3 per cent on average.Source:9B CareersAverage percentage increase in salaries of architectural staff (in practice)Drilling down, a recently qualified architect can now expect to earn 42,850 4.2 per cent more than a year ago. But the latest increases dont look so upbeat seen in a longer-term context. That same architect, if their 2016 wages had kept up with inflation, should be earning 50,300.AdvertisementMeanwhile, an associate architect currently taking home 56,950 is missing out on nearly 15,000, compared with the inflation-tracked salary estimate.As Aga Szedzianis, an associate at DSDHA, wrote for the AJ earlier this month: This is not mere salary stagnation. This is a rapid salary decrease. Whats more, experts are predicting there will be little, if any, growth in pay next year.The profession is facing triple headwinds of unpredictable workloads, squeezed fees and extra practice burdens such as the new National Insurance contribution (NIC) regime for employers and, in particular, the fall in the threshold at which employers start paying NI on an employees salary, down from 9,100 to 5,000. Alex Shall, a partner at accounting and advisory firm Praxis, believes there will be very little growth in architects salaries in the medium term. He says: Having spoken with some [architect] clients, the general view is that practices were already finding the idea of offering a cost-of-living rise in line with inflation very challenging.Now, with an average increase of 2 per cent on the total cost of employing someone as a result of the NIC changes, it is likely that many employers will say there will no increase at all from April 2025, while others may limit the cost-of-living increase to 1 per cent as a way of sharing the pain.AdvertisementSalary levels are intertwined with practice income and the spectre of knockdown fees has risen again in recent weeks.Paul Chappell, recruiter 9B Careers founder and organiser of the survey, believes the fees issue, NIC increases (from 13.8 per cent to 15 per cent) and recent redundancies will tilt salary negotiations in favour of the employer and that it would be surprising if salaries continued to grow at the same rate.David Green, former senior economist at the Bank of England and a director at Belsize Architects, agrees there has been relentless pressure on fees. In terms of workloads in 2025, he adds: While there should be increased expenditure from some potential clients, others, like local authorities, remain very stretched.It will take time before the reforms promised by government to unlock development become reality. Our expectation is that downward pressure on at least some salaries is not going to ease any time soon.The squeezed top and the left-behind apprenticesThe survey showed salary increases at almost every level, except for the most senior roles and apprentices. The average expected annual wage for architects with more than 21 years of experience actually dropped from 74,103 in 2023 to 72,969 in 2024. The pay for a woman in this category fell even more.Source:9B CareerAverage salary of those with more than 21 years experienceAn explanation for the top-end squeeze? Some practices are experiencing real financial difficulty. It is unsurprising that the most senior people are choosing to act to secure what in some cases may be the survival of the practice, Green suggests.At the other end of the scale, apprentices also seem to be losing out. Though the pool of apprentice respondents was smaller, it seems their salaries have stalled (or even dipped), especially compared with those doing the same work but who qualified through the traditional route. Emily Foster, programme manager at the Thornton Education Trust and recent graduate of the Level 6 architectural assistant apprenticeship, said: This data is worrying but, unfortunately, not surprising. While these figures arent true for all practices and the sample size is small, it reflects a broader problem of apprentices being particularly vulnerable to exploitation.This disproportionately affects those from lower socio-economic backgrounds who, ironically, chose the apprenticeship route so they would be more financially secure, while also gaining valuable experience.Men paid more at senior levels and unfair bonus handoutsIt has been noticeable and welcome how, over the nine years the survey has been running, the gender pay gap has steadily shrunk. There is now little difference between the salaries of men and women with up to 10 years of practice experience.However, there is a still a near-4,000 gender pay gap for those with 10-20 years experience. This rises to 10,000 at 21 years-plus remarkably, a significant widening of the 6,000 gap reported at this level in 2023. There is also a disparity between the bonuses received by female staff (41 per cent) and those of their male colleagues (48 per cent).Source:9B CareersAverage salaries for men versus women, comparing 2018, 2021 and 2024.This discrepancy has changed very little over the years, though the difference had shrunk to around 5 percentage points in 2020 (33 per cent and 38 per cent respectively).The salary survey findings come in the wake of new research into the talent retention of women in the built environment by the Circle Partnership, in collaboration with Cellence Plus and Laing ORourke. That study revealed women were discouraged by overtly competitive or ambitious behaviour, preferring to earn recognition through consistency, reliability, and quiet competence. It also found that women were more cautious and risk-averse when it comes to career and finance, which could be a key contributor to the ongoing gender pay gap.Sadly, there will be little opportunity to shrink this gap if, as feared, salaries dont change in the next 12 months however well-documented and understood the issues are.Source:9B CareersPercentage of men and women who have received bonus payments2024-12-13Richard Waitecomment and share
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