Job vacancies tumble in July as hiring appetite eases
UK job vacancies tumbled in July following a strong June performance, with entry level roles still suffering from a weak job market.
Vacancies fell month on month following June’s strong rebound, down 1.24 per cent to 864,705, according to the latest job market report from Adzuna.
Average salaries suffered a slight fall, slipping to £42,264 from £42,397, a 0.3 per cent decrease on June’s average salary of £42,397.
Despite the monthly fall, July marked the fifth consecutive month of positive year-on-year growth, after 30 months of decline.
However it was only a slight uptick of 0.3 per cent compared to July 2024.
Advertised salary growth was more positive, rising 8.75 per cent year on year, bolstered by an increase in the national minimum wage in April and inflation.
Andrew Hunter, co-founder of Adzuna said: “After a hopeful uptick in June, July saw the pendulum swing back with vacancies falling again.
“While salary growth remains one of the few consistent positives, continuing to outpace inflation, hiring appetite is clearly uneven.”
The fall in total vacancies saw July’s job seeker per vacancy ratio rise to 1.98 per cent, as competition to secure a role became more fierce.
Meanwhile the average time it takes to fill job roles shortened to 36.3 days, down from 36.4 days the month before.
Hospitality and entry level roles plummet
Some sectors saw significant drops in vacancies. The number of healthcare roles dropped for the third consecutive month, down 8.87 per cent year on year, while the number of hospitality roles dropped 8.43 per cent.
The national insurance change is estimated to have cost the sector an additional £3bn annually, and led to 84,000 fewer jobs being created.
Economic conditions also affected entry level roles, including apprenticeships and junior listings, which accounted for just 21.9 per cent of all UK vacancies, its lowest share recorded in the past five years.
Graduate jobs rose 2.5 per cent compared to June, but are still down 28 per cent year on year, reflecting the ongoing struggle graduates are facing in entering the job market.
However, construction recorded an 11.7 per cent increase while HR role vacancies increased 3.4 per cent.
Hunter said, “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.
“This speaks to a market still finding its footing. Until we see greater stability across the board, it’s likely this stop-start pattern will continue.”