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UK Vacancies Fall to Five-Year Low as Graduate Openings Hit Record Lows

Recruiters tie the pullback to higher payroll costs alongside expanding AI reducing demand for junior roles.

Overview

  • Adzuna recorded 694,940 advertised roles in January, down about 3% from December and 16% year on year, dropping below 700,000 for the first time since January 2021.
  • Graduate adverts fell below 10,000 for the first time since 2016 and were down roughly 45% on the year, while entry-level roles declined about 4% annually.
  • Youth unemployment has reached 16.1% and the overall jobless rate rose to 5.2% in the three months to December, according to the ONS.
  • Competition for roles intensified to roughly 2.4 jobseekers per vacancy, up from about 2.27 a month earlier.
  • Signals remain mixed as REC reported 1,435,910 active postings in January, up 3% month on month, while average advertised pay rose to £43,289—about 6% higher than a year earlier—and London saw the fastest monthly drop in vacancies at 5.6%.