Deloitte to cut more UK advisory roles after slashing hundreds last month
Deloitte is set to cut even more job roles across its UK advisory divisions, less than a month after it axed 250 roles in the same department.
180 people were informed on Tuesday that their roles at the Big Four firm are affected by a restructuring which it said was necessary to navigate “challenging market conditions”, according to the FT.
Last month 250 employees in the UK, approximately one per cent, who were deemed to be underperforming were axed from the firm, all from its advisory divisions.
This stems from September 2023 revelation that Deloitte was set to make around 800 redundancies in the UK as demand for its services slows amid a challenging market environment.
Speaking at the time, chief executive Richard Houston said “some targeted restructuring” across the businesses, “which, subject to consultation, put some roles at risk of redundancy”.
In the same month, Deloitte UK revealed its revenue increased slightly by over two per cent, but this was against the backdrop of its profit stalling.
Its revenue for the year ended 31 May 2024 increased by 2.4 per cent to £5.7bn.
Despite that, its distributable operating profit was “in line with last year” at £756m, a stall after it generated six per cent the previous year. While its average profit per equity partner (PEP) dropped by 5.2 per cent to £1.01m, from £1.06m in the previous year.
Its financial advisory business faced a challenging market, particularly in forensic and M&A advisory, as revenues dropped by two per cent from £669m in the financial year for 2023 to £653m.
A spokesperson for the firm stated that “in the context of an ongoing challenging market, we have to carefully consider the shape of our firm.”
“This means that we have unfortunately announced some proposed restructuring across parts of our UK business today.”
“Subject to consultation, this may put some roles at risk of redundancy. We will be doing everything we can to support the individuals impacted,” they added.