PricewaterhouseCoopers's underlying profit growth for the past financial year rose by 7% on a turnover of £2.24bn, the firm has reported.

The numbers will maintain PwC's position as the UK's biggest firm, but the gap in turnover with Deloitte is now less than £200m, or less than 10% of Deloitte's total revenues.

The tax and advisory divisions of the business continue to excel, growing 8% and 13% respectively. Assurance grew just 3% to £1.043bn over the past 12 month period.

Overall PwC's revenue grew by 7%, slightly up on last year's 6%.

Ian Powell, UK chairman of PwC, described the performance as 'good', especially when factoring in recent market conditions.

'The current economic uncertainty has affected business and consumer confidence with transactional activity down and a lowering of growth expectations for many UK and international businesses,' he said.

While the downturn in the economy is set to continue for the short to medium-term, Powell said the firm is well positioned to steer clients through this period.

'We share our clients' concerns over the risks to the continued competitiveness of the UK economy.'

The quantity and scope of regulation combined with the level of uncertainty and complexity in this country's tax system are particular causes of concern, and remain at the top of the agenda for leading UK-based businesses.

Other highlights of the report include the admittance of 80 new partners to the firm – 26% of which were women, and the hiring of 2,500 staff.

Profile: Ian Powell, chairman of PwC

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