Deloitte UK is reversing course on pay austerity, announcing a 14 per cent jump in its bonus pool and average salary increases of 4.2 per cent. Boss Richard Houston told staff the firm would promote 28 per cent of employees — about 6,000 people — at the start of its new financial year. That's up from 25 per cent a year ago, after Deloitte had cut consulting bonuses 20 per cent in 2025.

The turnaround follows a rough period. Deloitte posted a 1 per cent UK revenue contraction in 2025, its first decline since 2010, as consulting clients pulled back on big projects. Houston attributed the rebound to stronger pricing, higher staff utilisation and new work around AI adoption. Partner pay rose 4 per cent to £1.05 million despite the revenue dip, as the firm trimmed costs.

Houston told staff Deloitte expects to beat its profit plan. The bounce back owes much to advising clients on AI and tapping offshore delivery centres for lower-cost delivery. For a Big Four firm still recovering from pandemic-era demand fading, that's a credible story of sharper commercial focus rather than organic growth.