CFO strategies to drive growth while wrestling old demons
January 27, 2025
UK CFOs are playing a high-stakes game in 2025. With nearly 73% forecasting revenue growth of at least 10% and almost half anticipating an even loftier 20% rise, the optimism is palpable.
Yet, beneath the surface lies a maze of challenges, from outdated technology to talent retention woes, threatening to undermine their bold ambitions.
Insights from FTI Consulting’s 2025 Global CFO Survey paint a picture of finance leaders who are both bullish on growth and acutely aware of the need to modernize their operations.
As they navigate inflation, geopolitical instability, and rising energy costs, UK CFOs are proving their mettle as drivers of transformation—redefining their roles as strategic leaders.
Revenue Growth Amid Economic Turmoil
Despite the clouds of economic uncertainty, UK CFOs are bullish about growth. Nearly three-quarters anticipate revenue increases exceeding 10%, and 47% expect to surpass the 20% mark.
This optimism stands in stark contrast to the challenges presented by inflationary pressures, energy cost volatility (cited by 70% of CFOs), and geopolitical instability (66%).
Much of this confidence stems from strategic initiatives such as expanding into new markets and optimizing business models. CFOs are shifting their focus from simply managing costs to identifying areas for profitable growth.
FTI Consulting’s Christopher Ruell highlights the precarious nature of this optimism: “It remains to be seen whether this relative confidence will hold as new geopolitical imbalances arise alongside ongoing inflation and energy volatilities.”
Talent Retention: A Lingering Headache
Talent retention has emerged as a critical pain point for UK CFOs. The survey reveals that 1 in 5 finance leaders struggle to retain their teams. While only 12% of CFOs identify a general talent shortage, the bigger issue appears to be recruitment inefficiencies and the inability to upskill existing staff.
Finance roles are increasingly demanding a blend of traditional accounting expertise and technological proficiency. However, double the number of CFOs (20%) cite a lack of technological skills among their teams as a significant barrier. This gap poses a dual threat: it hampers the effectiveness of finance functions and adds pressure to already strained recruitment pipelines.
Retention challenges are further compounded by high competition for skilled professionals, particularly in digital finance. The findings show that over 1 in 5 CFOs experience difficulties in holding onto talent, with the issue tied closely to dissatisfaction with outdated tools and limited career progression opportunities.
Outdated Technology: The Silent Saboteur
The reliance on outdated tools and manual processes continues to stymie progress in UK finance departments. A significant 80% of CFOs report that legacy systems are negatively impacting their teams, contributing to inefficiencies that ripple across their organizations.
“Outdated technology is more than just an inconvenience—it’s a productivity killer,” says Ruell. “When finance teams are bogged down by inefficient tools, their ability to act as strategic partners is diminished.”
The appetite for modernization is clear. Nearly 88% of CFOs believe advanced finance technology and automation could dramatically improve their operations, particularly in areas like forecasting accuracy (86% see this as a critical improvement) and decision-making.
Automation also presents an opportunity to reallocate resources to higher-value tasks, allowing CFOs to focus on strategic initiatives rather than administrative burdens.
Technology investments are no longer a luxury—they are an imperative. CFOs are beginning to recognize that digital transformation is crucial to staying competitive. However, the pace of adoption has been slow, hindered by both budget constraints and resistance to change within finance teams (noted by 76% of CFOs).
Cybersecurity Takes Center Stage
As finance becomes increasingly digital, the risks associated with cyber threats loom larger. Cybersecurity has risen to become one of the top three strategic priorities for CFOs globally. This focus reflects the growing awareness of the financial and reputational damage that breaches can cause.
UK CFOs are leading the charge in adopting robust cybersecurity measures, recognizing their importance in safeguarding organizational assets.
With complex, manual processes still prevalent in many finance functions, the threat of data breaches and fraud is amplified. The survey found that 84% of CFOs cite outdated processes as a significant concern, underlining the urgency of adopting secure, streamlined systems.
“Cybersecurity is no longer just an IT issue—it’s a finance issue, a strategic issue, and a boardroom issue,” notes Ruell.
This bold balancing act of growth, modernization, and risk management defines the CFO of 2025. Facing challenges head-on with a mix of optimism and pragmatism, these finance leaders are reshaping what it means to lead in times of uncertainty.
[The CFO]
