Revenues at PwC’s UK unit fall after Middle East business bites

By the Editorial Team · Thursday, September 17, 2026

PwC UK reported a 3 percent revenue decline for the fiscal year ending June 2026, driven primarily by a 15 percent drop in its Middle East operations due to a dispute with Saudi Arabia’s Public Investment Fund. This downturn prompted significant job cuts and reflected broader economic challenges, although the firm maintained stable profits through cost controls and saw record partner pay despite reduced consulting revenues.

PwC UK reported a 3 percent decline in revenue for the financial year ending in June 2026, marking the first drop in more than two decades. The firm’s total revenue fell to approximately £6.16 billion from £6.35 billion the previous year, while pre-tax profits decreased by 4 percent to around £1.41 billion. This downturn was largely attributed to challenges in PwC’s Middle East operations, which experienced a 15 percent revenue contraction to £1.69 billion amid a protracted dispute with Saudi Arabia’s Public Investment Fund (PIF), one of the region’s largest sovereign wealth funds.

The conflict arose after PwC attempted to recruit a senior member of PIF’s internal finance team in 2025, leading to a one-year ban on PwC bidding for new advisory work from the fund. This development significantly affected PwC, as its Middle East consultancy business had been a major growth driver since the post-pandemic surge in demand. The firm described the year as “more challenging” due to the dispute, regional conflicts, broader market disruptions, and currency fluctuations.

Within the UK and Middle East combined, PwC reduced its workforce by nearly 12 percent, cutting 4,000 jobs and lowering its wage bill by £150 million. Most layoffs occurred in the Middle East, alongside targeted voluntary exits in the UK. Despite the reduction in staff, average partner remuneration reached a record £935,000, an 8 percent increase from the previous year’s £865,000. PwC UK’s senior partner, Marco Amitrano, received £4.8 million, up from £4.3 million.

The firm’s consulting division, traditionally its largest revenue segment, experienced a 10 percent decline, reflecting a broader slowdown in client spend as global economic uncertainties—such as trade tensions, inflationary pressures, and ongoing geopolitical issues—weighed on advisory demand. In contrast, revenue from audit, tax, deals, and risk advisory services remained relatively stable or saw modest growth.

PwC attributed the relative resilience of profits to “disciplined management” and operational cost controls. The firm also emphasized the rapid adoption of technology and artificial intelligence within the sector, which is transforming traditional consulting and audit practices and prompting firms to reconsider their labor-intensive business models.

Founded in 1849 and formed in its current structure in 1998 through the merger of Price Waterhouse and Coopers & Lybrand, PwC is one of the Big Four global accounting and consulting firms, alongside Deloitte, EY, and KPMG. Despite recent setbacks, PwC UK’s partners remain among the highest paid within the group, ranking second behind Deloitte in average partner earnings.

This article was reported by synthesizing coverage from multiple independent news outlets to present a balanced, unbiased account. Read about our editorial standards. Spotted an error? Let us know.