The average UK procurement and supply chain salary is £47,435 © Chris Ratcliffe/Bloomberg/Getty Images
The average UK procurement and supply chain salary is £47,435 © Chris Ratcliffe/Bloomberg/Getty Images

Procurement salary rises outpace UK national average

Procurement salaries in the UK have risen by an average 5% this year, above the national average of 4.2%, according to the 2021 CIPS/Hays Procurement Salary Guide.

The average procurement and supply chain salary in the UK is £47,435, while for procurement managers it is £47,500. For a procurement specialist the average is £38,500 and for procurement directors it is £101,000.

The UK average increase compares with a figure of 6% growth in the salaries of procurement professionals in Europe.

The average salary for all European procurement and supply chain professionals was $92,070.

The average professional level salary, such as procurement manager, was $102,000 and for operational roles such as a procurement specialist it was $49,000. The average European salary for advanced professional level for roles such as a procurement director was $184,000.

A continuing gender pay gap in the profession was evident from the figures. The gap is most pronounced in advanced professional levels, with women in these roles paid 30% less than men in the UK. This has lowered by 3% since last year.

The pay gap in Europe was 57% between average male and female earnings with women paid on average $45,655 less than men. This was the highest disparity across all the regions the survey covers.

Salaries in the private sector in the UK were likely to be on average 18% higher than in the public sector. This compared to private sector procurement roles in Europe paying 78% more than public sector jobs. MCIPS can increase salaries by 24% in managerial level roles in the UK, and by 12% across all roles in Europe.

Average salaries also varied by UK region, with the highest in London, at £58,7000, and the lowest in Wales at £37,718.

According to the survey, 68% of procurement professionals in the UK that were eligible for a bonus received one this year. On average this was 8.5% of salary. In Europe, 79% received a bonus which averaged 13.4% of salary.

Soft skills continue to be key across all areas in the UK, especially for those at advanced and professional levels. Communication and supplier relationship management (SRM) tied as the most important skills, both cited by 51% of respondents, while negotiation was cited by 47%. This was reversed in Europe, with negotiation the most important skill (55%), followed by SRM (47%) and internal stakeholder management (41%).

Recovering from the Covid-19 pandemic was regarded as the most important challenge among procurement professionals in the UK, cited by 52% of respondents. This was followed by managing supply chain risk (49%) and changing EU procurement regulations (45%).

Recovering from the pandemic was further down the list of challenges in Europe, cited by (31%) of respondents. Managing supply chain risk (41%) was the biggest challenge, followed by being regarded as a strategic partner to business and managing costs while maintaining quality, both 34%.

Malcolm Harrison, group CEO, CIPS, said: “Boards and CEOs are sitting up and taking notice of these talented individuals. The report clearly shows that professionals with the right experience and capabilities will be sought out and rewarded, leading to varied and interesting careers for decades to come.”

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