KPMG Australia appoints former Spotless boss Martin Sheppard as national chairman

Martin Sheppard declares KPMG’s new chairman will ‘enable change and uphold confidence’ in the sector as rival firm PwC deals with the fallout of its tax scandal.

Martin Sheppard says he will “enable change and uphold confidence” in the professional services sector after being named as the chairman of KPMG Australia.

The former Spotless managing director will take over as chairman from September 1 when current chair Alison Kitchen’s term ends in August. Ms Kitchen was elected in 2017 and was the first woman to be appointed as chair at any of the big four accounting firms in Australia.

“Martin is well known and respected by Boards and CEOs across Australia as a leader and highly effective decision maker,” Ms Kitchen said.

Mr Sheppard has spent nearly three decades with KPMG working in London, Sydney and Melbourne across many of the firm’s service lines including audit, transaction services and consulting.

He briefly left the company between 2015 and 2018 when he headed up integrated facilities services group Spotless.

Currently serving as national managing partner of client growth and markets, he will work closely with KPMG chief executive Andrew Yates.

Mr Sheppard said he was extremely pleased and grateful to KPMG’s partners for entrusting him with the role.

“The role of National Chairman at KPMG is pivotal to upholding the highest standards of governance and all aspects of our firm’s performance,” he said.

Martin Sheppard will take on the role from September 1. Picture: KPMG

“I look forward to utilising my experience to ensure that KPMG continues to develop and deliver the critical professional services the market needs to enable change and uphold confidence.”

The appointment comes after the United States arm of KPMG was reported to have cut 5 per cent of its workforce, its second round of job cuts this year, as it struggled with the slowdown in demand for consulting and other services.

The firm, which also axed staff in February, said in an email to staff seen by the Financial Times that continuing “economic headwinds” meant additional reductions were now needed.

The appointment of Mr Sheppard to the chairman role also came at a significant time for the professional services sector, which has come under the spotlight in the wake of peer company PwC’s tax leak scandal.

PwC has faced weeks of growing criticism over its use of confidential tax briefings to create strategies for clients to minimise their tax in response to new laws implemented in Australia in 2016.

PwC Australia might hive off further parts of the business as part of a $1 deal with Allegro Funds to sell its government business, as its acting CEO Kristin Stubbins told NSW parliament it would deliver the findings of an internal inquiry into a scandal haunting the firm “very soon” amid growing political pressure.