British businesses show weakest hiring intentions since pandemic

Published 11/08/2025, 08:22
British businesses show weakest hiring intentions since pandemic

Investing.com -- British businesses’ hiring intentions have fallen to their weakest level since the COVID-19 pandemic, according to surveys released Monday that point to a softening job market.

The Chartered Institute of Personnel and Development (CIPD) reported that only 57% of private sector employers plan to recruit staff over the next three months.

This marks the lowest level since the start of 2021, though it represents only a slight decrease from 58% in the previous quarterly survey.

Recruiters also indicated that starting pay is rising at the slowest pace in over four years, adding to evidence of labor market weakness.

The CIPD, a professional body for the human resources sector, attributed the hiring slowdown partly to higher employer social security charges introduced by finance minister Rachel Reeves.

An increased minimum wage was also cited as a factor negatively impacting jobs, with the hospitality and social care sectors particularly affected.

These findings come at a time when the Bank of England is closely monitoring the jobs market as part of its economic assessment.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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