KPMG UK is cutting about 200 back-office roles as the Big Four firm continues its cost reduction drive, according to people familiar with the matter. The redundancies affect positions in areas such as human resources, finance, and technology, and come after earlier cuts in deal advisory and tax.
Scope of the cuts
The job losses represent about 1.2% of KPMG UK's workforce of roughly 17,000 employees. The firm informed staff of the plans this week. A KPMG spokesperson said the changes are part of a broader restructuring to simplify operations and invest in priority areas.
"We are reshaping our business to focus on growth areas and to operate more efficiently," the spokesperson said. "This means some roles will be removed and new ones created."
Context of broader restructuring
The cuts follow a wave of redundancies across the professional services sector. KPMG UK previously cut around 100 jobs in its deal advisory and tax divisions earlier this year. Rivals such as Deloitte, EY, and PwC have also reduced headcount in response to slower demand for consulting and advisory services.
KPMG's latest round targets back-office functions that are considered non-client-facing. The firm aims to redirect savings into technology and digital capabilities, including artificial intelligence and data analytics.
Impact on employees and future hiring
Affected employees will be offered support including severance packages and outplacement services. KPMG said it will also create new roles in areas of growth, potentially redeploying some staff. The firm continues to hire in audit, tax, and consulting, particularly in technology-related fields.
The restructuring reflects a wider trend among professional services firms to automate back-office tasks and streamline operations. KPMG has invested heavily in AI tools to improve efficiency, which has reduced the need for some administrative roles.
