STORY
Britain’s permanent jobs market showed signs of stabilising in July, with a survey of recruiters recording no fall in permanent placements for the first time in 45 months. The Recruitment and Employment Confederation and KPMG said their permanent placements index rose to 50.0 from 49.1, the level separating expansion from contraction.
Temporary hiring remained in growth territory, with the temporary staff placements index at 51.9, compared with 52.7 in June. Temporary vacancies increased for the first time in two years, while the availability of temporary workers rose by the smallest amount since May 2023. Starting pay also strengthened, with salary growth for newly hired permanent staff reaching a six-month high and temporary pay growth its strongest in 26 months.
The survey was based on responses from around 400 recruitment agencies between 9 and 27 July. KPMG said businesses would now be looking for evidence that policies from the new Government could translate into confidence to invest and recruit. The Bank of England is also monitoring pay pressures closely as it assesses inflation and the outlook for interest rates.