The UK consulting sector is expected to grow by 6.4% in the next 12 months and by 8.7% in 2026 with AI being the biggest area of growth for consulting in the next year Nearly 40% of consulting firms are looking to expand further with more regional offices outside the capital this year and investments estimated at £2.8 millionThe proportion of young consultants from Russell Group universities has decreased to its lowest point ever at 30%, compared to 73% in 2011Flexible working has overtaken competitive salary as the top driver of job satisfaction, for the first time in 6 years
LONDON, Jan. 20, 2025 /PRNewswire/ — The latest research from the Management Consultancies Association (MCA) reveals a cautiously optimistic forecast for the consulting industry in 2025, with particularly strong growth expected in the Digital & Technology and Energy & Infrastructure sectors. According to the MCA Member Survey 2025 conducted by independent research firm Savanta, MCA leaders believe that the consulting sector will grow by 6.4% in the next 12 months and by 8.7% in 20261, signaling a resilient sector despite challenging economic conditions in the UK and overseas.
Consulting services in AI (66%), digital technology (59%) and cost reduction (46%)2 are expected to help drive greatest growth with the Energy and Resource sector (71%), Infrastructure (54%) and Digital and Technology (85%)3 sectors the top three by sector size. Nearly all member firms anticipate increased demand for AI-related services, with three-quarters planning significant internal investments in AI over the next two years averaging at £1.9 million4. AI is also expected to play a crucial role in meeting rising client expectations for highly specialised expertise and innovative solutions, allowing consultants to focus on higher-level strategic thinking while AI handles routine and data-intensive tasks. The survey responses forecast consultants will increasingly leverage AI-powered tools to streamline processes, augment decision-making, and deliver more personalised solutions to clients. As the sector moves into 2025, cautious optimism prevails, with a focus on embracing opportunities and overcoming emerging challenges. Clients are looking for consultants to do more, assisting with productivity and helping support business growth. It is important to remember that over the past five years the overall size of the consulting sector in terms of revenue has doubled to over £20 billion.5
The MCA Annual Industry Report in 2024 showed a significant regional investment trend, with more than half of all new hires being recruited outside the capital last year. MCA member firms now have 312 office locations outside London. In the MCA Member Survey 2025, nearly 40% of consulting leaders indicated plans for regional office investments this year, with the average outlay estimated at £2.8 million, rising to £5.3 million among larger firms6. This investment underscores the industry’s commitment to expanding its footprint and tapping into diverse talent pools across the UK.
The survey also highlights the industry’s increasing commitment to inclusivity. Data shows a significant shift in the educational backgrounds of young consultants, with the proportion of consultants from Russell Group universities decreasing to 30%, compared to 73% in 20117. This change underscores a deliberate effort by consulting firms to enhance social mobility and attract talent from a broader range of educational backgrounds and regions across the UK.
Flexible working (37%) has overtaken a competitive salary (26%)8 as the top driver of job satisfaction for consultants for the first time in six years. This shift reflects a broader trend towards valuing work-life balance and the flexibility to work from various locations, which has become especially relevant in today’s work environment. Despite these advantages, there remains a strong desire for more in-person interactions among consultants. In fact, 56%9 of members have expressed a preference for increased face-to-face engagements, highlighting the ongoing need for personal connection and collaboration in the industry, both with clients and colleagues.
Tamzen Isacsson, MCA Chief Executive, said:
“From geopolitical instability to high inflation, it has been another challenging year for the economy, and the resilience of our sector in such a climate is testament to our members’ perseverance and surefootedness. Nearly three quarters of business leaders say their performance either met or exceeded expectations last year and it’s encouraging that our leaders expect client demand to bounce back this year and next. It is no wonder therefore that the consulting sector has been identified as a growth-driving industry by the government.
“This survey, now in its sixth year, illustrates not only the scale of the challenges, but the speed at which the market is moving and how management consulting will be supporting clients from around the globe to grow. There is positive but cautious optimism for the year ahead with a focus on embracing opportunities and overcoming emerging challenges. Our sector continues to lead the way on diversity and inclusion and continues to attract more diverse talent into the sector from all backgrounds and regions of the UK.”
Independent market research agency Savanta partnered with the MCA to collect and analyse member data for the 2024 report. Further information can be found at www.mca.org.uk
Notes to Editors:
1. 1,268 management consultants from the Management Consultancies Association membership participated in the survey conducted between 7th of October and 20th November 2024. It was carried out by the independent research company Savanta
The Management Consultancies Association (MCA):
The MCA is the representative body for the UK’s leading management consulting firms. For nearly 70 years, the MCA has been the voice of the consulting industry, promoting the value of consulting to business, the public sector, media commentators and the general public. The MCA’s mission is to promote the value of management consultancy for the economy and society as a whole. The MCA’s member companies comprise over 50% of the UK consulting industry and work with the vast majority of the top FTSE 100 companies and almost all parts of the public sector. The UK consulting industry is amongst the best in the world and a vital part of the business landscape.
1 Question asked to MCA Council Representatives – To what extent do you expect your organisation’s overall consulting activity to grow or contract over the periods Jan 2025 – Dec 2025 and Jan 2026 – Dec 2026
2 Which consulting services do you believe will grow the most over the period between Jan 2025 and Dec 2025. % of respondents who put service in top 3.
3 Respondents who expected consulting activity to increase in certain sectors
4 MCA Council Representatives asked how much they anticipate investing in AI and innovation in the period Jan 2025 to Dec 2026
5 MCA Annual Industry Report 2024
6 MCA Council representatives – approximately how much do you anticipate investing in regional expansion outside of London in the period of January 2025 to December 2026
7 If applicable, which university did you attend during your undergraduate degree (inc I did not attend university/I attended university as an apprentice)
8 Which elements of your role provide the most job satisfaction? (% who had the response in their top 3)
9 % of respondents who agree or disagree with statements about hybrid working
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