Tata Consultancy Services (TCS) on Friday (October 10, 2025) said it would create 5,000 new jobs in the UK over the next three years.
This announcement comes in less than 24 hours after the company announced a reduction of almost 20,000 people in Q2FY25, the biggest ever job cut in a single quarter by the company or any of its peers.
TCS also said it opened an Artificial Intelligence (AI) Experience Zone and Design Studio in London, reaffirming its continued strategic investment across the United Kingdom (U.K.), and upholding its long-standing partnership with the U.K. economy. The AI Experience Zone and London Design Studio wouldplay a strategic role in fostering innovation and client collaboration across the U.K. and reflects its commitment towards the region, it said.
Further, with its continued investment in creating employment and supporting talent development,TCS would create 5,000 new jobs across the U.K. over the next three years, it said.
According to industry observers, the hiring announcement came close on the heels of the company’ Thursday (October 9) announcement of a huge net reduction of people and this clearly indicates that large Indian tech services providers would certainly be increasing focus around growth geographies, outside of the U.S., and close to key customers. There has also been a conscious effort by tech India to reduce its over dependence on American markets by building in other markets including U.K., Europe, Africa and Asia Pacific regions.
“In the Tech world, as headwinds persist and enterprises remain cautious in their IT spending, we should expect IT Services companies to scale up talent where demand is high and to be efficient with their billable resources when clients reduce their spending. The needs of the clients will purely dictate the hiring increase or decrease onsite or in India, and unlike in the past, the speed of these hiring and layoffs may be much more agile,’‘ observed Kamal Karanth, CoFounder, Xpheno,a specialist staffing company.
According to TCS, a business delegation headed by U.K. Prime Minister Keir Starmer visited the company’s Banyan Park campus in Mumbai on Thursday (October 9). At the event, Jason Stockwood, Minister for Investment along with the TCS leadership team launched a report by Oxford Economics detailing TCS’ contribution to the U.K. economy.
TCS has been a leading technology partner to U.K. enterprises for over 50 years. It has also created employment in the country, supporting around 42,000 jobs directly and indirectly, the firm said.
“Creating 5,000 new jobs in the U.K. is a feel good announcement for TCS and also it is a good take away for the U.K PM who is visiting India with a jumbo delegation. Otherwise, the UK is not a new market for TCS,’‘ opined B.S. Murthy, CEO Leadership Capital, a CXO advisory firm.
Jason Stockwood, Minister for Investment, U.K., said, “For nearly 150 years, Tata Group has reflected their leadership in entrepreneurship and philanthropy. As a valued investor for the UK, Tata Group and its companies like TCS are central to this mission which ultimately will create jobs, put money in people’s pockets, and deliver economic growth across both countries.”
According to an Oxford Economics report, in FY2024, TCS contributed £3.3 billion GBP to the U.K. economy. The company supported a total tax contribution to the U.K. Exchequer of over £780 million in FY2024, equivalent to the salaries of over 20,400 teachers. It also supported 42,700 jobs either directly or through its supply chain across 19 sites in the U.K., with 15,300 employees working in technology positions such as engineering and data analytics, an important figure when addressing the skills gap that is estimated to cost the U.K. economy £1.5bn per year.
Vinay Singhvi, Head- U.K. & Ireland, TCS said, “The U.K. is TCS’ second-largest market globally, making it central to our investment strategy around the world. We are continuing to expand our footprint across the U.K., with investment into innovation, people, and skills in all four nations.”
Published – October 10, 2025 09:26 pm IST
