Archive · 7 Sep 2026
UK Permanent Hiring Rebounds as Labour Market Shows Recovery Signs
A survey suggests that hiring for permanent jobs in the UK improved in August.
The measure of permanent placements rose slightly above the level that signals growth.
This was the first increase reported since September 2022.
Companies also used more temporary workers.
However, the number of available jobs still fell.
More people were available to work, partly because some workers had been made redundant.
Pay for new permanent jobs increased faster than it had since January.
These results suggest the job market may be stabilising, but it is still under pressure.
Permanent job placements rose to 50.5 in August from 50.0 in July.
The increase was the first reported expansion in permanent hiring since September 2022.
Temporary staff billings recorded their second-fastest growth in more than three years.
Overall vacancies continued to decline, although the contraction was the second-weakest in nearly two years.
Permanent starting salaries grew at their fastest pace since January, while candidate availability also increased.
- Who
- Businesses, job candidates, and employers in the United Kingdom, as measured by the Recruitment and Employment Confederation and KPMG survey.
- What
- Permanent job placements increased, while vacancies continued to decline and temporary hiring strengthened.
- When
- August, compared with July; the increase was reported as the first since September 2022.
- Where
- The United Kingdom.
- Why
- Businesses may be showing early signs of renewed recruitment demand, although economic uncertainty continues to weigh on hiring.
- Permanent placements index
- 50.5 in August, up from 50.0 in July
- Previous expansion
- The first reported increase in permanent hiring since September 2022
- Temporary hiring
- Temporary staff billings rose at their second-fastest pace in more than three years
- Vacancies
- Vacancies continued to decline, but at the second-weakest pace in nearly two years
- Candidate availability
- Availability increased at its fastest pace in three months
- Starting salaries
- Permanent starting salaries grew at their fastest pace since January
- Survey organisations
- Recruitment and Employment Confederation and KPMG