A survey conducted by Grant Thornton UK in March 2025 has revealed that 62% of CFOs in the UK lack a strong working relationship with their Human Resources Directors (HRDs).

This is despite 94% of CFOs recognising that such a relationship is vital for their business’s success.

The research, involving 300 CFOs and 200 financial controllers from firms with revenues between £50m and £5bn, highlighted a broader issue of disconnect among C-suite executives.

The findings show that fewer than half of CFOs report strong working relationships with any fellow executives, with 50% stating they lack robust connections across the C-suite.

The most common description of CFO-HRD relationships was “neutral,” indicating communication limited to operational matters rather than strategic collaboration.

CFOs with strong HRD relationships noted benefits such as stronger organisational culture, improved employee retention, better access to workforce data, and closer alignment between finance and commercial objectives.

Grant Thornton director and head of people advisory Katie Nightingale said: “A strong working relationship between finance and people functions is critical. It's concerning, though not necessarily surprising given how busy both are, to see that fewer than half of CFOs report having this with their HR counterparts.”

“CFOs should be leveraging the unique perspective and viewpoint that HRDs often have, given their role in the heart of an organisation, to benefit their business overall and help drive the organisation forward.”

“To build high-performing teams, CFOs need to adopt a strategic, holistic approach to workforce planning. Working with their HR counterparts, CFOs need to be continuously assessing current and future capabilities, addressing skill gaps through development, hiring, or outsourcing, and fostering a culture of career ownership are essential. CFOs who embrace this adaptable mindset will be the ones who build the strongest teams in the long run.”

The survey also underscored poor boardroom cohesion, with “lack of strategic alignment in the boardroom” cited as the top challenge CFOs expect to face over the next 12 months.

Relationships with HRDs ranked second to last, with only CFO-IT Director relationships faring worse, as 65% reported weak connections with IT leaders.

The findings suggest that siloed boardroom dynamics are a significant barrier to driving effective organisational change.

Grant Thornton consulting partner Simon Davidson added: “Today’s CFO is no longer just the financial steward - they’re now at the centre of everything from digital transformation to the skills agenda and sustainability reporting.”