Vacancies rise but UK jobs market remains near five-year lows as salaries pass £44,000

-

A total of 752,711 roles were advertised, up 3.74 percent from February, although vacancies remain 13.6 percent lower than a year ago, leaving the market close to its weakest level since 2021.

Average advertised salaries climbed to £44,327, rising 0.55 percent on the month and 4.93 percent annually, continuing to outpace inflation and marking a new high for pay. The figures, from jobs platform Adzuna, come against a backdrop of rising employer costs and global economic uncertainty, which appear to be tempering hiring activity.

Vacancies rise but competition remains high

Despite the monthly increase in vacancies, competition for roles remains elevated compared with last year.

HRreview Logo

Get our essential weekday HR news and updates.

This field is for validation purposes and should be left unchanged.
Keep up with the latest in HR...
This field is hidden when viewing the form
This field is hidden when viewing the form
Optin_date
This field is hidden when viewing the form

 

The number of jobseekers per vacancy fell slightly to 2.29 in March from 2.40 in February, but remains well above the 1.81 recorded a year earlier. It reflects a labour market where employers still hold the upper hand, with more candidates competing for fewer roles than in previous years.

The broader economic context continues to weigh on hiring decisions. Increases in employer National Insurance contributions and the National Living Wage, alongside global trade uncertainty, have contributed to a more cautious approach to recruitment.

Hiring trends varied widely across sectors, with some areas showing strong growth while others continue to decline.

Teaching recorded the largest monthly increase, with vacancies rising 8.97 percent to more than 210,000 roles, and now standing significantly higher than a year ago. Sales, legal and energy roles also posted steady gains.

Domestic help and cleaning saw particularly strong growth, rising 25.95 percent in March, continuing a sustained increase seen since late 2025. But other sectors remain under pressure. Consultancy vacancies fell 8.08 percent on the month, while logistics and healthcare roles remain sharply lower than a year ago.

The divergence between sectors suggests that while some areas are expanding, overall hiring demand remains uneven across the economy.

Graduate jobs remain near record lows

Opportunities for early career candidates remain limited, with graduate vacancies continuing to fall. There were just 10,667 graduate roles advertised in March, down 34.9 percent compared with a year ago and close to record lows.

It marks a sharp decline from previous years and reflects a sustained reduction in entry level hiring by employers. Entry level roles more broadly showed modest improvement, rising 2.4 percent on the month, but this increase has not offset the wider contraction in graduate opportunities.

Pay, meanwhile, continues to rise across most sectors, with several industries reporting strong annual increases. Technology remains the highest-paying sector, with average salaries reaching £65,347, while HR and recruitment, along with domestic help and cleaning, also saw notable wage growth.

Only a small number of sectors reported falling salaries, including maintenance, travel, social work and creative roles. London recorded a milestone, with average advertised salaries reaching £50,867, making it the first region in the UK to pass the £50,000 mark.

Elsewhere, Wales and Scotland posted some of the strongest annual pay growth, while the North East remained the lowest paid region despite steady increases.

Salary transparency continues to fall

The proportion of job adverts including salary information declined again in March, with just 43.74 percent of roles listing pay details.

This means more than half of vacancies are still advertised without a salary, adding uncertainty for candidates navigating an already competitive market. The decline continues a longer term trend, with transparency levels falling from consistently higher levels seen earlier in the dataset.

The average time to fill a role stood at 39.5 days, reflecting relatively stable hiring timelines. Administrative, retail and legal roles continue to be filled most quickly, while healthcare, energy and IT positions take longer to recruit. It suggests that while hiring volumes remain subdued, employers are still able to fill roles within similar timeframes.

Outlook remains cautious

Andrew Hunter, co founder of Adzuna, said the data showed the market was stabilising rather than recovering, despite recent improvements in vacancies and wages. “March’s figures offer a cautious glimmer of hope – two consecutive months of vacancy growth after a long decline, and wages continuing to hold above inflation.”

He said the overall picture remains challenging for jobseekers, particularly those at the start of their careers. “But let’s be clear about what the data is actually showing: vacancies are still -13.6% lower than a year ago, graduate roles are near record lows, and competition for jobs remains intense.

“The market is stabilising, not recovering. For job seekers, that means the fundamentals haven’t changed: targeting applications carefully, using every available tool to stand out, and staying alert to the sectors — like teaching and domestic and cleaning — that are genuinely adding roles.”

Managing Editor at Black | Website

William Furney is a Managing Editor at Black and White Trading Ltd based in Kingston upon Hull, UK. He is a prolific author and contributor at Workplace Wellbeing Professional, with over 127 published posts covering HR, employee engagement, and workplace wellbeing topics. His writing focuses on contemporary employment issues including pension schemes, employee health, financial struggles affecting workers, and broader workplace trends.

Latest news

Lauren Webb: Empowering women to lead the way in analytics and AI

Women remain wildly underrepresented in technical and digital leadership, making up just 22% of the UK’s AI talent. It’s jarring.

Employers urged to balance flexibility and fairness as England’s World Cup campaign begins

Employment lawyers are advising organisations to plan ahead for leave requests and workplace flexibility as the 2026 FIFA World Cup gets under way.

Amy Coleman on uncertainty and pressure at work

“Many of you shared feelings of uncertainty and pressure as the work evolves.”

Workers fear favouritism is driving workplace rewards and recognition

Many UK employees believe workplace rewards are influenced by favouritism, with women significantly less likely to view recognition as fair.
- Advertisement -

Curtis Holmes: Payroll is the driver for employee engagement

Payroll has long been treated as a back-office necessity: essential, but not something that shapes culture or drives engagement. This no longer stands.

Labour market yet to show major AI impact on jobs, govt adviser says

A government economic adviser has challenged predictions of widespread AI-driven unemployment, arguing labour market data has yet to show disruption.

Must read

Julie Taylor: Consulting your staff the right way in redundancy, whether collective or otherwise

Following the Advocate General's decision to reverse the Employment Appeal Tribunal’s (EAT)'s view of the meaning of ‘establishment’ when it comes to collective redundancy consultations, Julie Taylor outlines the redundancy procedure in the UK.

Parents need more support at work as parenting challenges increase

Colin Grange, UK Clinical Director at LifeWorks discusses an emerging issue that’s affecting more working parents.
- Advertisement -

You might also likeRELATED
Recommended to you