PwC has confirmed it will reduce the number of graduates and school leavers it hires in the UK this year, reflecting weaker economic conditions and the growing impact of artificial intelligence on professional services.
The Big Four accountancy group told Business Insider it would recruit 1,300 entrants to its UK graduate and school leaver programmes, down from 1,500 last year. The move was first revealed in an opinion piece in The Sunday Times by Marco Amitrano, PwC’s UK managing partner.
“PwC will always be a large employer and training ground for young people in the UK,” Amitrano wrote. But he noted that the combination of a sluggish economy and advances in AI had forced the firm to recalibrate its intake.
Economic headwinds
The UK economy has struggled over the past 18 months, with higher borrowing costs curbing investment, dealmaking and corporate hiring. Amitrano described this downturn as “the single biggest factor behind a lower graduate intake at PwC this year.”
Professional services firms have been among those most exposed to the slowdown, with corporate clients delaying projects and cutting discretionary spending. Analysts say this has weakened demand for audit, tax and advisory services, which traditionally underpin graduate recruitment pipelines.
Deloitte, another member of the Big Four, also announced last week that it would lower its entry-level hiring. The firm will take on 1,400 graduates and apprentices this year, compared with 1,700 in 2023.
Beyond short-term economics, Amitrano emphasised the structural shift driven by artificial intelligence. He acknowledged that, for now, PwC’s investment in new tools and upskilling had largely offset potential disruption to jobs. But he warned that the balance would evolve.
“Most technologies, if not all, have boosted both productivity and wages,” he wrote. “AI has the potential to do the same, but it will require sustained and serious investment in tech, infrastructure and training.”
Amitrano said consistent policy, regulatory reform and a predictable tax regime were essential for enabling UK firms to create new roles in industries emerging from AI adoption.
Global dimension
PwC is not alone in turning to international talent pools to manage costs. In the same column, Amitrano noted that the global labour market had become “more competitive and accessible than ever before.” He said the firm would use offshoring “where it makes sense” to remain competitive.
In the United States, PwC is pursuing a similar strategy. Business Insider reported in August that the firm’s US branch plans to cut graduate hiring by a third by 2028. Internal documents cited by the outlet pointed to AI transformation, offshoring via its acceleration centres, and broader integration efforts as drivers of the change.
Other professional services groups have made similar adjustments. KPMG and EY have both slowed graduate hiring in recent years, while consulting firms more broadly have trimmed staff following a surge in demand during the pandemic.