Graduate job vacancies have collapsed to their lowest level in a decade, with the jobs website Adzuna recording only 7,826 openings last month, down 43 per cent year-on-year. This marks the lowest number of graduate positions since the platform began collecting data in 2016. The decline reflects a broader squeeze on entry-level hiring as companies navigate rising costs and increased deployment of artificial intelligence across their operations.
More than half of hiring managers told recruitment agency Reed that AI is leading to fewer job opportunities. The International Monetary Fund head, Kristalina Georgieva, warned earlier this month that AI represents 'a slow-moving tsunami' that will eliminate jobs globally and harm prospects for young people. The Confederation of British Industry has also pointed to rising staff costs as a barrier to youth employment, citing inflation-busting increases to minimum wage rates and the £25 billion national insurance tax on employers as key factors.
The squeeze extends across the wider jobs market. Overall vacancies on Adzuna fell to 728,037 in September, down 11.9 per cent year-on-year, with 2.33 jobseekers competing for each role, the highest level of competition in over two years. Logistics and warehouse roles dropped 23 per cent, IT vacancies fell 11.1 per cent and teaching positions contracted around 4 per cent year-on-year. However, healthcare roles showed resilience, with demand increasing for mental health practitioners, specialist nurses and clinical nurse specialists, alongside strong demand for specialist engineering and legal positions reflecting wider skills shortages.
Regional disparities have widened significantly. Scotland recorded the steepest decline of any UK region in September, with listings down 27.2 per cent year-on-year, more than double the national average. Yorkshire and Humber and London also saw significant contractions, whilst the South East was the only region to show growth, up 0.9 per cent. For jobseekers and young people entering the employment market, this represents a significantly more competitive landscape with fewer entry-level opportunities available.
A brighter development emerged in pay transparency. September marked the first month on record in which the majority of job adverts disclosed salary information, following the government's July 2026 consultation proposing mandatory salary disclosure by all employers. Andrew Hunter, co-founder of Adzuna, said the shift in hiring power toward employers matters significantly for millions of unemployed people, though he highlighted healthcare and increased salary transparency as positive developments that help quality candidates make informed decisions.