Microsoft cuts hundreds of UK jobs even as profits soared

Microsoft shed 203 UK workers between June 2023 and June 2024
However it still has more than 5,000 employees in the UK
Microsoft revenue grew by 15-16% in that year

Microsoft has reportedly cut 203 jobs from its UK workforce despite healthy financial performance, however it might not spell out disaster for the company.

The figures come from account documents shared with Companies House (via City AM), revealing the company had reduced its headcount from 5,540 to 5,337 in the year to June 30, 2024.

However, despite the small drop, Microsoft had grown its headcount from 4,955 in the previous year, so the UK footprint is still of a considerable size.

Microsoft trims UK workforce

Microsoft Limited, the company’s primarily British arm, posted £9.62 billion in revenue in the 12 months leading up to June 30, 2024, marking a considerable 15% increase from £8.38 billion in the previous year.

Microsoft as a whole generated $245.12 billion in revenue in the same period – itself a 16% increase over the $211.92 billion 2023 saw in revenue.

One of the most notable regulatory things to have happened for Microsoft in the UK last fiscal year was the clearing of its partnership with OpenAI by the Competition & Markets Authority, which ruled that a full-scale investigation would not be required.

However, more recently, two US Senators have raised concerns about both Microsoft’s partnership with OpenAI and Google’s partnership with Anthropic.

Despite the headcount reduction, Microsoft continues to expand its footprint in the UK, having announced plans for a new hyperscale data center near Leeds after the acquisition of a 48-acre site in June 2023, which had previously been used for a power station.

This marks the third series of minor layoffs in 2025 (via layoffs.fyi), and a considerable slowdown from previous years.

TechRadar Pro has asked Microsoft to share details of the nature of the redundancies, but we did not receive an immediate response.

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