Big Four heavyweight PwC UK has demonstrated a measured financial rebound, with turnover, profits, and partner earnings all registering modest gains versus the prior year, primarily attributed to workforce reductions.
For the 12 months to 30 June 2025, PwC UK posted £6.35bn in turnover, representing a 0.4% rise on the preceding year, as reported by City AM.
The firm’s aggregate group profit climbed to £1.37bn from £1.14bn in 2024, whilst profit per UK partner averaged £865,000, edging up from £862,000.
Across the company’s service divisions, it achieved turnover expansion in tax, deals, and audit, with tax spearheading growth at 6%, propelled by intricate regulatory developments.
Nevertheless, its consulting and risk operations encountered more challenging market dynamics, leading to a 3% decline in revenues for both areas.
Senior partner Marco Amitrano noted that “against a challenging macro backdrop”, the organisation has implemented “decisive steps to position our business for sustainable growth”.
Similar to its Big Four counterparts, PwC has been trimming positions over recent years whilst grappling with subdued demand and simultaneously broadening its service offerings.
In March, reports emerged that the company eliminated 123 partners whilst also suspending its technology apprenticeship programme.
In Thursday morning’s financial announcement, PwC stated: “As part of our transformation, we took the tough decision to reduce roles in some areas, but maintained our commitment to pay and promotions, with overall spend on reward in line with last year.”
Internally, the company established a shadow leadership team to “bring the voice and ideas of our people into the firm’s board-level decision making”.
The business has also introduced a new managing director grade, designed to diversify the structure and create fresh career pathways for personnel.
The firm noted in its results that it introduced a new hybrid working policy, which encourages staff to be together at least three days a week.
This follows reports earlier this month that PwC has ramped up its monitoring of employees’ office attendance through a ‘traffic-light’ system.
Tech drive
PwC has been investing heavily in technology. During the past year, it launched Tech Catalyst, a specialist unit for AI and technology innovation.
Alongside this, the firm invested in its staff tech capabilities through a range of initiatives, notably launching the AI Elevation Studio, a platform designed to support everyone.
Nevertheless, whilst the firm focuses on AI, the consultancy sector may be most impacted by the advancement in this technology.
AI is transforming the consultancy sector by automating tasks traditionally carried out by junior staff, resulting in job losses. Beyond this, the AI developments at other businesses are shifting their emphasis from offering advice to delivering measurable outcomes for clients.
Meanwhile, there has also been heightened competition, forcing larger firms to cut prices and embrace new business models to remain competitive. In a conversation with City AM in July, Tom Rodenhauser, managing partner of Kennedy Intelligence, stated: “Some of the major strategy firms will have to face the reality of how far they can go into the technology and the operation space because that’s a shift for them.
“The investment requires the expertise of having to manage services and do things their product has never been built for,” he further added.
