Jacob Rees-Mogg takes a hit as profits plunge at Somerset

The Jacob Rees-Mogg investment firm warned that earnings are likely to fall this year after it was hit by a downturn in global markets.

Somerset Capital, which was co-founded by the MP in 2007, reported that profits for the year to the end of March 2022 had fallen by a third.

The group reported a profit of just under £6.5m, down from £9.7m in 2021. It attributed the slump to lower management fees due to a ‘decline in assets under management’, which is being described as estimated at around £5.5 billion.

Payouts fell, with the highest paid member getting a share of £471,842 compared to £760,330 a year earlier. It is unknown whether Rees-Mogg is the highest paid member.

Somerset, which specializes in emerging market investments, also warned that earnings in the current fiscal year are likely to “decline further” due to “weaker markets.”

The profit drop came amid speculation that Somerset Capital could be sold. Rees-Mogg owns about 12 percent of the company and the steady stream of dividends makes him one of the highest-earning MPs in Parliament.