The UK’s Professional Business Services Sector
Understanding the UK’s professional business services sector is essential for any business seeking to gain a competitive edge within the local and global markets. Professional services are an integral part of the national and global economy, with the UK accounting for more than 25% of the global services output and generating £140 billion per year according to the CBI.
Professional services encompass a wide range of activities, including marketing, engineering, legal, tax, accounting and financial advice. Professional service firms undertake work that requires specific qualifications and experience, such as consulting, research, data analysis and the like, and generally produce intangible outputs such as business insights and advice rather than physical products.
These professional services are provided by firms of varying size, ranging from incredibly small companies operating a one-man-band to multinational organisations. Each will have their own specialities and strategic approach to offering professional services, even if the areas of expertise remain the same.
As the country’s service sector continues to diversify and develop, the UK’s professional business services sector is continuing to evolve. The demand for highly-educated, specialised personnel has vastly increased, encouraging businesses to recruit foreign talent from abroad to fill their most sought-after positions.
At the same time, the ever-growing digital economy has challenged the dynamics of the professional service industry, giving online services such as accounting and legal advice a bigger platform. It has also incentivised businesses to be ever more creative and efficient with their service offering, promoting greater competition in the sector.
In addition, economic instability and globalisation continue to present both opportunities and threats to the professional services sector, meaning those involved must remain up-to-date and conscious of market movements and what this could mean for the wider service industry.
These key elements of the professional business services sector are key to its success and represent the underlying factors that any business operating within this sector must understand. With the sector continuing to develop, those involved must not only remain abreast of the latest trends and developments, but importantly focus on providing clients with a quality service that sets them apart from their competitors. Making use of the latest technologies whilst being able to gain a deeper understanding of the specific clients’ needs will ensure businesses operating in this sector remain on top of their game.