As of the first quarter of 2025, the business consulting and management sector in the United Kingdom is experiencing notable trends in job openings, salaries, and the nature of work. Here's an overview:
Job Openings:
Resurgence in Hiring: The UK consulting industry is rebounding after a challenging period marked by budget cuts and layoffs due to economic downturns following the COVID-19 pandemic. Demand for advisory services is increasing, particularly in areas such as artificial intelligence (AI), data, cloud services, cybersecurity, technology, and risk management. The UK consulting market is projected to grow by approximately 5% this year.
Increased Job Postings: Recent research indicates an uptick in UK hiring and consumer confidence. The Recruitment and Employment Confederation (REC) found that companies increased hiring in January, marking the first rise since June of the previous year. Hiring rose by 7.2% in January, with new job postings up 34.4%, indicating resilience in the UK job market despite economic uncertainties.
Salaries:
Competitive Compensation: Salaries in the UK consulting sector are competitive, with starting salaries for consultants varying depending on the company and role. For example, McKinsey offers a base salary of £50,000 with potential bonuses, leading to a total compensation of up to £60,000. Bain offers a base salary of £52,000 with bonuses up to £11,000, totaling up to £63,000. The Big Four firms (Deloitte, EY, PwC, and KPMG) also offer competitive salaries, with base salaries ranging from £45,000 to £55,000, depending on the firm and role.
Regional Variations: Salaries vary by location. For instance, London offers higher salaries compared to other regions, reflecting the cost of living and concentration of consulting firms. The technology industry, which includes consulting roles, has a median salary of £46,206, with roles like software engineers and data engineers earning between £51,000 and £63,000.
Type of Work:
Specialized Consulting Services: There is a growing demand for specialized consulting services in areas such as AI, data analytics, cloud services, cybersecurity, and risk management. Consulting firms are focusing on recruiting professionals with expertise in these areas to meet the evolving needs of businesses.
- Flexible Work Arrangements: While not specific to the consulting sector, there is a broader trend towards flexible work arrangements across various industries. However, the consulting industry often requires on-site presence and client interactions, which may limit the extent of remote work opportunities.
In summary, the UK business consulting and management sector is experiencing a resurgence in hiring, with a focus on specialized services and competitive salaries. The market is projected to grow, and firms are actively seeking professionals with expertise in emerging areas to meet the evolving demands of businesses.
