KPMG in the UK has reported growth in North East revenues as part of a national rise of 9% from £2.72bn to £2.96bn.

Ian Beaumont, office senior partner for KPMG in Newcastle said there were plenty of regional highlights: “There is no doubt that it has been a challenging market so I am pleased to see our support for local business and organisations reflected in growth in our regional revenues in the North East.

“First and foremost, I’m proud of the difference are people are making in the community. We are longstanding supporters of the Gregg’s Breakfast Club at Kenton Bar Primary School – providing funding so students can have a healthy start to the day.

"In addition to this, our colleagues have been volunteering their time to provide numeracy, literacy and employability skills support to both primary and secondary school students across the North East - in schools, in our office and virtually. 78 colleagues also signed up for KPMG’s ‘Big Walk’ in Newcastle in support of our charity partner Marie Curie.

“Our people have continued to go above and beyond to provide high-quality advice and solutions for our clients in the region who have been looking to navigate an uncertain economic and political landscape. To support this, we continue to invest for the future, recruiting and training top talent from our local universities and schools.

“Looking ahead, with elections for the first Mayor of the North East coming up, businesses will be watching closely to see what benefits this brings to the region. This is especially important with the North East’s pivotal role in sustainable energy, and importantly how we attract and retain people with the skills needed for us to make the most of it.”

Nationally, increased client demand for advice on tax transformation and the use of Generative AI from the firm’s tax and legal business delivered an 8% increase in net sales. KPMG’s consulting arm also recorded an increase in sales of 7%, with clients seeking advice on a range of transformation projects including digitisation. The firm’s audit practice grew 19%, driven by expanded reporting requirements.

Jon Holt, Chief Executive and Senior Partner of KPMG in the UK, said: “Digitisation and emerging technologies are at the forefront of our clients’ minds, and we have the expertise to meet demand and help them gain a competitive edge.

"I am confident that our long-term strategy is delivering and putting the right foundations in place to transform the business for future, sustainable growth.” 

The business reported a reduced profit before tax of £364m, following a 17% increase in staff costs. This was due to the firm’s desire to remain well invested in its people to retain the skills and experience needed to support market demand throughout the cycle. This, combined with lower levels of attrition across the sector, led to a 12%* increase in headcount.