PwC UK, Britain’s largest accountancy firm, has reduced staff numbers as it contends with a slowdown in its consulting business and broader UK economic headwinds.
The firm said it had taken the “tough decision to reduce roles” in order to position the business for sustainable growth, though it declined to disclose the exact number of job cuts.
The firm reported a 3% decline in consulting revenue, which accounts for roughly one-third of total UK revenues, contributing to muted firm-wide growth of 0.4% to £6.35 billion for the 2024/25 financial year.
Despite this, PwC’s UK profit rose 20% year-on-year to £1.37 billion, largely due to cost management and operational restructuring, with partner payouts averaging £865,000, slightly up from £862,000 in 2024.
Marco Amitrano, PwC UK’s managing partner, said:
“Against a challenging macro backdrop, we’ve shown resilience and taken decisive steps to position our business for sustainable growth that meets the interests and expectations of all our stakeholders.”
He added that improving market sentiment is supporting a stronger pipeline across the firm’s multidisciplinary portfolio.
The UK economy’s contraction and government efforts to limit public sector consulting spend have squeezed a key revenue stream for the Big Four.
PwC, which employs more than 25,000 people in the UK and over 370,000 globally, has offset some of the consulting decline with growth in audit, tax, and deals advisory.
The firm’s UK headcount fell to an average of 33,770 in 2024/25, down from 36,006 the previous year, while staff costs decreased from £3.32 billion to £3.15 billion.
Although consulting revenue fell to £1.98 billion, the tax, audit, and deals divisions recorded modest gains.
PwC has also introduced a “managing director” role, which observers suggest may be aimed at maintaining senior leadership without increasing the number of equity-holding partners.
The move follows a period of significant hiring and expansion in response to post-pandemic demand, which has since slowed as clients cut back on discretionary consulting spend.
Recruitment trends mirror the shifting market. Accounting and consulting job vacancies in London rose 18% in the first half of 2025, according to Morgan McKinley and Vacancysoft, indicating stabilisation in hiring despite overall job reductions.