Vacancies and salaries both dipped in July, pointing to a slowdown after a brief period of recovery in the labour market. The latest figures show openings fell by 1.24 percent to 864,705, while average advertised pay slipped 0.3 percent to £42,264.
The data comes from a UK Job Market Report by job platform Adzuna, showing that despite the month-on-month dip, vacancies remain higher than at the start of 2025 and are up 0.31 percent compared with last July.
July also marked the fifth straight month of annual growth, following more than two years of decline.
Healthcare vacancies hit hardest
Healthcare roles suffered the steepest fall, down 10.3 percent in July and 25.4 percent since April. The sector, once among the most stable, has now recorded three consecutive months of decline.
Hospitality and catering roles also dropped sharply, down 8.4 percent, while marketing, social work, sales and maintenance all posted smaller falls. By contrast, construction continued its strong run, with vacancies rising 11.7 percent in July, following a 16 percent jump in June. Retail, legal, HR and creative roles also posted gains.
Contract hiring grows as permanent roles fall
A shift in hiring patterns emerged, with advertised contract roles rising 22 percent since April while permanent vacancies fell 9 percent. The trend is most visible in corporate sectors such as accounting and finance, marketing, consultancy and legal, where companies appear to be prioritising short-term flexibility.
For example, contract roles in marketing rose 19.4 percent while permanent positions dropped 6.9 percent. Legal vacancies grew overall, but contract postings surged 35.9 percent, far outpacing permanent hiring.
Entry-level opportunities continue to shrink
Conditions for early-career workers remain challenging. Entry-level roles accounted for just 21.9 percent of all vacancies in July, the lowest share in five years. Graduate job postings rose slightly month-on-month but remain 28 percent below last year.
By contrast, the time taken to fill graduate jobs fell sharply to 33.5 days, nearly six days faster than in June. Other sectors are slowing: teaching roles now take almost a week longer to fill, averaging 39.4 days.
Regional variation in vacancies and pay
All regions saw a fall in vacancies in July, with Northern Ireland and Scotland among the hardest hit. But Northern Ireland also recorded the strongest annual growth, with job openings nearly 60 percent higher than last year. London and Eastern England also posted modest year-on-year gains.
Average pay continues to climb in most regions, with six areas now offering salaries above £40,000. Northern Ireland led annual wage growth at 14.3 percent, followed by Scotland and Wales, while London remains the highest-paying region at £48,410.
Competition for roles is sharpest in the North East, with 3.3 jobseekers per vacancy. The South West remains the least competitive, with 1.29 candidates per job.
Healthcare assistant roles overtook healthcare support worker positions to become the most-viewed job ads in July, based on Adzuna’s Interest Quotient ranking. Warehouse work, social care and retail sales also drew strong interest. Barista roles appeared in the top 10 for the first time, while software development and administrative jobs dropped out of the rankings.
Market outlook
“After a hopeful uptick in June, July saw the pendulum swing back with vacancies falling again,” said Adzuna co-founder Andrew Hunter.
“While salary growth remains one of the few consistent positives – continuing to outpace inflation – hiring appetite is clearly uneven. The ongoing strength in sectors like construction is in stark contrast to another consecutive monthly drop in healthcare roles – traditionally one of the most stable sectors.”
Hunter added that it amounted to “a market still finding its footing. Until we see greater stability across the board, it’s likely this stop-start pattern will continue”.
