EY is set to cut 150 jobs in its UK consultancy division as demand slows for advisory services.
The layoffs at the Big Four firm will affect senior consultants like managers, senior managers, and directors, The Times of London, which first reported the news, said.
“EY regularly reviews the resourcing needs of the business. Regrettably, proposals put forward in part of the UK consulting practice may result in a reduction of 150 roles,” an EY spokesperson told Business Insider.
“A consultation process is now underway with those impacted by these proposals.”
EY employs around 4,700 people in its consulting division in the UK.
Under UK law, all companies making more than 100 redundancies must carry out a consultation for at least 45 days before dismissing employees.
At the same time as the cuts, Benoit Laclau, the managing partner of EY’s consulting business in the UK and Ireland, is stepping down after nearly five years.
Laclau will continue to “serve some of EY’s largest clients and lead the firm’s technology driven pursuits in the UK.”
The news comes amid a struggle among Big Four firms to deal with declining demand for professional services.
According to EY’s annual report published in October, the company’s head count fell by 2,450 in the year to June 30 — the first decrease in 14 years.
Revenue was up 3.9% on the previous year to $51.2 billion, the firm’s poorest performance since 2010. And it reported a 4% fall in revenues for consulting and strategy.
EY is not alone in cutting UK staff numbers in recent months. In October, Deloitte cut 250 employees deemed to be underperforming working on consulting and advisory services in the UK.
Deloitte confirmed plans for additional cuts in the advisory division in November.
In its internal messages, Deloitte said the planned cuts were “necessary to enable us to navigate the remainder of a challenging FY25.”
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