Key Market Projections: 2025
The UK's financial and professional services industry is set for steady growth in 2025, but at a more modest pace than initially expected. This is a result of a weaker global economy and ongoing trade disruptions.
Growth Forecast: The consulting sector, a major component of professional services, is projected to grow by 6.4% in 2025. This is a solid figure, but a downward revision from earlier double-digit predictions, reflecting a more conservative outlook.
Sector-Specific Demand: The primary drivers of growth will be AI and digital technology, with 66% of consultants expecting AI-related services to drive the most significant growth. Cost reduction and energy/infrastructure are also key areas of client demand.
Economic Contribution: The industry's economic output continues to be substantial. The latest data shows it contributed a significant £281 billion to UK real gross value added (GVA) in 2024, and this figure is expected to grow.
London's Resilience: London is projected to maintain its position as the top global financial centre. The city's strength in tech leadership and AI adoption is a major factor, supported by a large number of data centres and a robust fintech ecosystem.
Outlook and Predictions: 2026
Looking ahead to 2026, the market is expected to accelerate, with growth powered by continued technological advancement and a more stable economic environment.
Accelerated Growth: The consulting sector is forecasted to see its growth rate nearly double from 2025, with an anticipated increase of 7.8% in 2026. This reflects a renewed confidence among business leaders and a rebound in client demand.
SME Lending: Total UK bank lending is forecasted to rise to 4.1% in 2026. Notably, loans to SMEs are expected to increase, providing capital for smaller businesses to invest and grow, which will in turn drive demand for professional services.
Talent Trends: There's a notable shift in talent acquisition. The proportion of consultants based outside London is increasing, reaching 39%, as firms expand regionally. However, London will remain a critical hub for high-level, experienced hires. Flexible working has also surpassed competitive salary as the top driver of job satisfaction for consultants, a key factor in recruitment.
Future Focus: The UK government and regulators are committed to making the UK a global leader in professional services by 2035, with a strong focus on boosting productivity, fostering innovation, and increasing exports. This strategic push will continue to create a favourable environment for growth and job creation in the coming years.