AS WE LAUNCH THE SHARP CONSULTANCY 2019/2020

Economic Outlook Roundtable: What Yorkshire’s Finance Leaders Are Saying About Growth, Hiring and the Road Ahead

Senior finance professionals from across Yorkshire recently joined Sharp Consultancy for an exclusive roundtable discussion featuring an economic update from Paul Mount, Economist and Deputy Agent at the Bank of England. The session provided a timely, in-depth look at the UK’s economic landscape — followed by a candid conversation about what businesses are experiencing on the ground.The picture that emerged was one of cautious realism. While official forecasts point to easing inflation and a gradual return to stability, many organisations across the region continue to navigate weak demand, rising labour costs, tightening legislation and stalled investment projects. Yet despite these pressures, there remains a strong sense of resilience and adaptability — qualities that have long defined the Yorkshire business community. At Sharp Consultancy, our specialist finance and accountancy teams speak daily to employers and professionals across commerce, industry, public practice and the not-for-profit sector. What we heard in this session closely aligns with the insight we gather from clients and candidates across the region. Below, we explore the key themes shaping business confidence, recruitment activity and the outlook for 2026. Inflation Is Easing, but Confidence Has Yet to Follow The Bank of England outlined its latest central forecast: Inflation expected to gradually return toward the 2% target. GDP growth set to remain modest but stable through 2026. Interest rates anticipated to settle around 3.5% based on market expectations. Unemployment projected to hold near 5%. However, the sentiment in the room was clear: despite improving headline numbers, confidence across most sectors remains fragile. Many organisations described the environment as “flat” — not contracting, but unable to capitalise fully on opportunities due to economic uncertainty. Sharp Consultancy continues to see this play out: businesses are stabilising rather than expanding, focusing on cash management, operational efficiency and carefully controlled hiring. Labour Costs Continue to Reshape Workforce Strategies Wage pressures were a recurring theme throughout the discussion. Employers highlighted: Significant increases to the National Living Wage. Higher employer National Insurance contributions. Expected future changes to minimum wage equalisation for younger workers. Rising cost and complexity associated with apprenticeships. These factors are pushing up costs at every level of the workforce and reshaping recruitment behaviours. Across Sharp Consultancy’s accountancy and finance divisions, we are seeing: Strong demand for replacement hires where roles are business critical. Lower volumes of growth hires, particularly in commercial and project-focused appointments. Clients increasingly prioritising candidates who bring breadth, adaptability and long-term value. Construction & Infrastructure: Capacity Under Pressure Leaders from the construction sector painted a challenging picture — one mirrored by many Sharp Consultancy clients operating across the wider built environment. Key themes included: Planning delays of 9–10 months, particularly related to the Building Safety Act. Businesses holding on to workforce capacity despite reduced margins — a strategy that may not be sustainable in 2026. Difficulty justifying new capital expenditure under IFRS when future cashflows are uncertain. Concerns that smaller subcontractors may not withstand prolonged delays or reduced demand.Yet, attendees also highlighted that construction could become a catalyst for economic recovery — provided policy reform and planning improvements unlock stalled projects. Manufacturing: Rising Costs and Shifting OperationsLeaders representing manufacturing shared concerns around: Rising energy and operational costs. Increased frequency of site closures and offshoring. Significant challenges in attracting engineering and technical talent. Early signs of contraction in several sub-sectors, with aerospace a notable exception. These pressures reinforce the growing importance of finance leaders who can model scenarios, manage volatility and guide long-term planning — roles Sharp Consultancy continues to support across the manufacturing landscape. Charity & Public Sector Organisations Facing Acute Strain For organisations reliant on local authority funding, the challenges are particularly stark. Attendees reported: Government and council funding caps. Rising NI, wage costs and VAT changes adding millions to annual budgets. Increasingly complex consultation requirements under forthcoming employment legislation. The likelihood of significant cuts to the frontline services in the months ahead.Sharp Consultancy’s continues to work closely with organisations navigating these pressures, supporting clients through restructuring, recruitment challenges and financial planning needs. Recruitment Outlook: Stability Over Expansion Across sectors, the message was consistent: 2026 is expected to be cautious, steady and focused on maintaining capability rather than expanding headcount. Attendees forecast: Workforce levels remaining broadly flat. Hiring driven by essential replacement roles. Transformation, M&A and large-scale project hiring likely to remain subdued. Improved recruitment confidence only once interest rates and policy direction stabilise. For employers, this means sharper competition for high-quality finance talent — an area where Sharp Consultancy’s specialist teams continue to provide targeted, market-led support. What Comes Next? A Slow but Steady Rebuild Despite the challenges discussed, the roundtable ended on a constructive note. Many leaders believe that once interest rates settle and stalled investment begins to move, the region could see a more meaningful upturn — potentially from 2026 onwards. Yorkshire businesses have proven time and again that they are resourceful, resilient and ready to adapt. Sharp Consultancy remains committed to supporting them through every stage — whether stabilising teams, recruiting future leaders, or navigating the next phase of growth. If you’d like to understand what these economic trends mean for your business or team, speak to our specialist consultants for a confidential market discussion. Contacts Us

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Over the last 12 months we have witnessed candidate demand far outstripping supply across many areas of the market and early indications show that trend is set to continue throughout 2019 and, potentially, on an even bigger scale.

We are very much seeing a candidate driven market and as a result recruitment is becoming more creative – and often aggressive – as employers step up their efforts to secure the top talent.

Whilst salary levels remain strong and we are witnessing good growth across many roles and levels, more emphasis is being placed upon offering flexible working opportunities, desirable benefits and soft perks such as the ability to buy additional holiday and tailor-your-own employee discounts in order to gain the edge over the competition.

In the current conditions with demand outstripping supply, employees are aware that they can earn – and often command – very good salaries. Yet, whilst this remains high on their list of requirements, savvy candidates are looking far more closely at roles which offer strong progression opportunities and positive working environments to go alongside the financial rewards.

Companies are becoming much more attuned to this way of thinking with an increasing number recognising the need to further improve their benefits packages – potentially alongside the ability to tailor these to suit individual needs – as well as ensuring clearly defined career paths are mapped out and positively communicated.

With high demand and lower levels of supply, employers are adjusting their approach, allowing themselves to flex their requirements to a greater degree. Those open to exploring candidates with a wider range of skills and experience rather than maintaining a firmly rigid view of the ideal appointment are more often than not, the ones that are reaping the rewards.

The market has seen key pinch-points develop over recent years and in particular we are witnessing a shortage of second (or third) time movers particularly across the south of the region where there are fewer people looking to make the move from the profession into industry. Competition is high and employers, recognising that this trend is set to continue, are looking to invest in the future by snapping up good quality graduates and candidates at more junior levels and bringing them through the ranks.

Whilst the economy has experienced growth in recent years, a level of uncertainty has remained which has made many employees somewhat reluctant to taking risks when it comes to making a move. However, with supply continuing to be a challenge facing employers, there remains a focus upon employee retention and ensuring the right balance between attractive salary levels, promotion and progression opportunities and job satisfaction is crucial as the perceived risk of making a move diminishes should one or more of these factors be out of kilter.

The above editorial is an extract from the Sharp Consultancy 2019/2020 Salary Survey; a full copy can be downloaded here.

Sharp Consultancy specialises in the recruitment of temporary, interim and permanent finance professionals. With offices in Leeds and Sheffield our highly experienced team of consultants recruit for positions throughout Yorkshire and beyond CONTACT UStoday to discuss your recruitment needs with a member of our team.

AS WE LAUNCH THE SHARP CONSULTANCY 2019/2020 SALARY SURVEY, REGIONAL DIRECTOR AARON PEPPERDAY TAKES A LOOK AT HOW HIGH DEMAND FOR TOP TALENT IS AFFECTING THE ACCOUNTANCY AND FINANCE SECTOR ACROSS THE REGION.

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