PWC is bullish on job growth for London

PRICEWATERHOUSECOOPERS yesterday forecast a net increase of 263,000 London jobs within the next five years.

According to PwC estimates, based on data from the Office for Budget Responsibility, all other UK regions will also see a rise in total employment as the loss of public sector jobs is offset by a gain in private sector jobs.

London will have the largest rise in jobs while Northern Ireland and Wales will be the most affected by the public sector cuts, seeing only 1.2 per cent and 0.9 per cent employment growth respectively through 2018.

The PwC report, released ahead of the chancellor’s spending review next week, concludes that total UK employment will continue to rise throughout the period of austerity, with a net increase of over 850,000 jobs. However, wages are likely to remain stagnant as many of the new private sector jobs will continue to be part-time or temporary, it says.

PwC also highlights that cuts are now focused on departmental spending as Whitehall seeks to cut expenses by a further £11bn.