Hiring in the UK weakened further in June, with permanent placements falling at the fastest rate in 22 months and temp billings also declining amid ongoing business uncertainty and tighter budgets.

• Candidate supply rose at the steepest pace since November 2020, driven by redundancies and a reduced appetite for hiring.
• Overall vacancies continued to decline, with permanent roles falling more sharply; demand for temp staff hit its lowest level in 10 months.
• Starting salaries and temp wages increased only modestly, with growth rates weaker than historical averages.
• Recruiters cited reduced confidence in the economic outlook and tighter spending as key reasons for hiring pullbacks.
• The report notes that labour supply improvements were not enough to offset hiring hesitancy across sectors.