Sharp Consultancy's Salary Survey 2025/26:

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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In last year’s commentary I said that a ‘degree of normality’ had returned to the economy and solid GDP growth had finally ‘rid us of the word recession’.

Before I chastise myself horribly, I suspect I wasn’t the only one that couldn’t have forecast what a difference two changes in governments could make (UK first and US second).

The former immediately created a change in business sentiment which changes to the tax regime further dampened. The word recession reappeared. The latter led to worldwide economic flux for reasons we are all now very familiar with – tariffs anyone?

Lee Sweeney, Executive Director at Sharp Consultancy standing in the Sharp Consultancy office in Leeds in-front of our word wall.

What does this mean for employment? Employers don’t like uncertainty because it is errr, so uncertain. Some hiring is by necessity, but some is investment; the former continues and the latter reduces.

The market is however not ‘dead’. We’ve seen ‘dead’ before (think credit crunch and early Covid). We believe that the market has remained surprisingly resilient. I believe that is because businesses have suffered enough shocks over recent years to have become more resilient. Whether I’m right or wrong, the jobs market (for accountants at least) is somewhere between OK and reasonably good. If you have skills, experience and sensible expectations you are very likely to find what you are looking for in relatively short order.

"If you have skills, experience and sensible expectations you are very likely to find what you are looking for in relatively short order."

Looking through the employer’s lens, good accounting professionals can be found – but they’re not ‘ten-a-penny’. As I discussed in last year’s commentary, employers continue to try and force the issue on increased office-based working and generally (though our survey suggests this is beginning to soften), employees continue to resist. I think we’re still a year or two away from some kind of equilibrium. Salary increases have flattened but job seekers haven’t fully embraced that yet (though again one of our salary survey questions suggests it is softening) and so there is still a need for a degree of generosity to entice potential employees – there is enough choice for them to wait a little longer for the next opportunity if your package isn’t quite attractive enough.

It appears that private equity firms still have funds to invest and lenders still have appetite to lend and so, perhaps slightly counter intuitively, the deals market still seems to be moving at a reasonable pace with optimism for a better year ahead.

I like to conclude by turning to my crystal ball and predicting the future. Last year I utterly failed (though as mentioned above, I can perhaps be forgiven). The resilience of the economy (recession didn’t happen) and the employment market gives me hope – economic disaster aside caused by tariffs or some other huge shock, I suspect job seekers and employers will see a reasonably good jobs market. There is definitely some uncertainty in the year to come, but there is a very strong desire in the business community to find a way through or around whatever lies ahead (and experience from shocks gone by to steer a safe course), so the odds of a stable year outweigh the odds of a poor one.

Sharp Consultancy's Salary Survey 2025/26: Resilience in the Face of Change: The Evolving Jobs Market by Lee Sweeney

In last year’s commentary I said that a ‘degree of normality’ had returned to the economy and solid GDP growth had finally ‘rid us of the word recession’.

"If you have skills, experience and sensible expectations you are very likely to find what you are looking for in relatively short order."

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​In last year’s commentary I said that a ‘degree of normality’ had returned to the economy and solid GDP growth had finally ‘rid us of the word recession’.

"If you have skills, experience and sensible expectations you are very likely to find what you are looking for in relatively short order."

In last year’s commentary I said that a ‘degree of normality’ had returned to the economy and solid GDP growth had finally ‘rid us of the word recession’.