Consultant Mouchel has confirmed it has cut more than 2,000 jobs since January last year as a result of government spending freezes.
Staff numbers fell from 11,940 to 9,776 as the firm restructured to tackle a dramatic slowdown in public sector spending, Mouchel’s principal source of income.
The figures were revealed this week in its preliminary results for the year ending 31 July.
They showed that the firm made a pretax loss of £14.7M and saw a 15% drop in revenue in the year.
The firm also racked up £45.2M in exceptional items. Of this, £22.5M was attributed to restructuring costs and a further £15.2M put against long-standing debts in the Middle East.
Chief executive Richard Cuthbert admitted that 2009/10 had been a “difficult and challenging year”.
He also said that the 2010/11 financial year had begun poorly.
“Trading in the current year has started more slowly than expected and the immediate outlook remains uncertain and, while we expect to see some improvement in the second half of 2010/11 as cost savings impact, in these circumstances it is right that the roup takes a more cautious approach to performance in the coming year,” he said.