KPMG, one of the "Big Four" accounting firms, has poached a new partner from rival PricewaterhouseCoopers to run its pensions business in Scotland.

The accountancy giant said yesterday that it had also promoted two KPMG professionals to partner level - taking the number of partners in the firm north of the border to 24.

Donald Fleming, whose appointment was described by the firm as a "coup", has been appointed head of pensions and will be responsible for spearheading the firm's expansion in this field.

Craig Anderson, head of KPMG in Scotland, said: "Donald's decision to join the firm from PricewaterhouseCoopers represents a real coup. He brings with him significant experience and an enviable track record of helping Scottish businesses address pension-related issues. Donald has a remit to significantly grow the pensions team in Scotland and is already actively recruiting."

The two other new partners were named as Kevin Smith and Jenny Stewart.

A KPMG spokesman said: "These appointments reflect the firm's continued growth and investment in key sectors."

KPMG said that the promotion of Smith, previously a director in the indirect tax practice, "reflects the firm's dominant market share in the indirect tax arena".

It added: "The firm is finding that, in the current financial climate, more businesses are seeking guidance to help review and structure the way that they manage VAT, with many finding that they are able to ease cashflow and improve profit margins, when given the right advice".

Meanwhile, Jenny Stewart, a former senior civil servant who joined the firm late last year after spending five years at Ernst & Young as head of government services, was appointed to lead KPMG's public sector practice. She will head a team of more than 50 public sector specialists in Scotland.

The company also noted that the latest announcement comes on the back of strong growth across the Scottish practice - including a 15% rise in turnover for the firm in Scotland last year, compared to a UK wide average of 11%.

Anderson said: "These latest appointments come on the back of a strong 12 months for the practice."