Fractional CFO Salary & Full-Time CFO Pay — UK 2026

A fractional CFO is paid a fixed monthly retainer for 1–3 days a week. A full-time CFO is paid a base salary plus bonus, pension, employer NI and (often) equity. The two numbers aren't directly comparable — fractional carries no employer-cost stack, no recruitment fee and no notice period — so the question is which structure delivers the right finance leadership at the lowest total cost for your stage.

A scaleup at ~£5m revenue typically pays a fractional CFO £3,000–£5,000/month (£36k–£60k/year) for board packs, budgeting, financial modelling and fundraising prep, against a permanent CFO cost of £120,000–£180,000 base (£150k–£250k total comp) — a £100k–£190k year-one differential before employer NI, pension and recruitment are layered on (FACTS 167).

"Virtual CFO" and "Part-time CFO" are not a different product — both are fractional CFOs by another name (virtual = fully remote delivery; part-time = slightly higher day-commitment). "Outsourced CFO" is a delivered service through a firm with a team of analysts where the named CFO oversees but does not personally do the work. "Interim CFO" is full-time temporary cover for a specific event, typically 3–9 months (FACTS 161, 159).

Company stage is the single biggest driver

Robert Walters prices the UK CFO range at £90,000–£364,000 depending on stage, sector and location. ScaleWithCFO benchmarks 2026 base by stage: Seed £80–120k, Growth £120–180k, Mid-market £160–250k, Large/listed £250–400k+ (FACTS 162). Revenue size correlates with complexity — managing £500m+ in revenue involves materially more risk, compliance and stakeholder management than managing £5m.

Sector premium can be 17–30%

A CFO in Banking & Financial Services can earn up to £364,000, while those in Commerce & Industry earn roughly 17% less, at £300,000 at the top end (Robert Walters). Fintech, FCA-regulated and PE-backed roles command premiums against equivalent SME or non-regulated CFO mandates.

Region accounts for 20–45% spread

London-based mid-market CFOs typically earn 20–30% more than equivalents in Birmingham, Manchester or Leeds, and 30–45% more than equivalents in Wales, Scotland outside Edinburgh, or Northern Ireland (ExecCapital + ScaleWithCFO, FACTS 163, 164). Remote and hybrid working has narrowed the gap, but the premium persists for investor-facing roles.

Equity vs cash mix shifts with stage

Startup CFOs typically take £80–120k base with heavy equity (total comp £100–180k including equity). Mid-market CFOs trade equity for cash and bonus. Large/listed CFOs receive LTIPs (Long-Term Incentive Plans) that can push total package to £400k–£1m+ (FACTS 162).

On a like-for-like billable-hour basis, a fractional CFO costs ~£107–£136/hr while a full-time CFO on a £160k base costs ~£88–£95/hr — but the full-time cost is fixed regardless of output (FD Capital).FD Capital UK 2026 pricing analysis

Outside IR35 (the goal)

Effective take-home 70–80% of gross contract value via a personal service company (PSC). The PSC pays Corporation Tax at 19% (small profits, ≤£50k profit) / 25% (main rate, ≥£250k profit) with marginal relief between (HMRC, FACTS 168). The director then draws a small PAYE salary plus dividends taxed at 8.75% / 33.75% / 39.35% depending on band (Lanop, FACTS 166, 168).

Inside IR35 (the cost)

Effective take-home 55–62%. Income tax + employee NI applied at source. No expense relief. Employer NI at 15% can be passed through to the contractor in negotiated rates (Kingsbridge). On £200k gross, the inside-vs-outside delta is roughly £30,000 net annually (FACTS 166).

What keeps fractional CFOs outside IR35

Multiple concurrent clients demonstrate genuine business operation, not disguised employment. Financial risk via fixed monthly retainers regardless of company performance. Own equipment (laptop, software licences, professional indemnity insurance). Genuine autonomy — setting own methodology, choosing financial systems, determining meeting schedules. No mutuality of obligation — either party can terminate with agreed notice (Fractionus IR35 guide).

April 2026 small-company threshold change

From 6 April 2026 the small-company exemption thresholds rise: annual turnover ≤£15m (up from £10.2m), balance sheet total ≤£7.5m (up from £5.1m), ≤50 employees. HMRC estimates ~14,000 UK companies move from "medium" to "small" — meaning IR35 determination shifts back to the contractor's PSC for those engagements (Smailes Goldie + Kingsbridge, FACTS 165).