As 2025 comes to an end it is an opportunity to reflect on how the year has been and what has been happening across the recruitment market in London and Manchester. It has been a challenging year for many businesses and one that has shaped the way people hire and the way candidates are approaching their career moves. Here are the trends that stood out –
Hiring slowed down – especially in permanent roles.
2025 has definitely been a slower year for hiring and vacancies have dipped across the UK, and both London and Manchester felt the impact. There has been more caution from employers and sign off delays, many putting their hiring needs on hold. At the same time, the number of available candidates increased which meant more competition for roles.
Skills based hiring
Employers have begun to focus far more on soft skills such as communication and leadership as opposed to focusing so heavily on qualifications and perfect CVs, which opens the door for a broader range of candidates with transferable skills to enter into new sectors.
Temporary roles have proved stable
With budgets under pressure 2025 saw a shift towards temp and contract hiring and so for agencies this has remained one of the steadiest streams of revenue. Clients want people quickly and with less commitment and candidates can stay active whilst looking for something more long term.
Employer brand and flexibility still matter
Even in a candidate heavy market businesses need to remain competitive. Jobseekers remain selective and prioritise genuine flexibility, hybrid working, supportive management and transparent salaries. So businesses do need to stay open minded and flexible to attract and retain the best talent.
Looking ahead to 2026
It looks likely that hiring may still stay cautious in the first half of the year and that skills based recruitment will continue to grow. Tech and AI-related roles might dominate demand in London and Manchester and temp/contract work will remain a strong option for clients and candidates. However, we are already seeing signs that confidence is coming back and permanent hiring will soon be on the rise. Projects that have been paused are being revived and teams that have been thin on the ground will likely be looking to rebuild to release pressure and recognise that to achieve growth it is important to invest in the right talent.
We very much look forward to working with you in 2026 – do not hesitate to get in touch if you require support with your hiring or if you are looking for new opportunities.
