UK job vacancies rise for fifth consecutive month as budget uncertainty affects employment
UK job vacancies fell for a fifth month in a row in November as employers became more cautious in the run-up to the Autumn Budget, according to new figures that underlined the growing weakness of the labor market.
Data from Adzuna showed a 6.4 per cent month-on-month drop in advertised roles, with vacancies reaching 745,448. Compared to November last year, vacancies fell by 15 percent – the sharpest annual decline recorded so far in 2025.
November is a strong hiring month, especially as businesses hire ahead of the Christmas trading period. However, weeks of speculation about possible tax increases have caused companies to delay or cancel hiring plans, contributing to what Adzuna described as one of the most difficult areas for job seekers in recent years.
Andrew Hunter, co-founder of Adzuna, said the figures show a significant change in employer behaviour. “Historically November is a strong hiring month, so these latest cuts are further evidence employers are erring on the side of caution,” he said. “The autumn budget has added some uncertainty as we head into the holiday season, and that has had a huge impact on hiring decisions.”
The recession has been especially bad for those entering the workforce. Adzuna reported a 24 percent drop in admissions, bringing them to their lowest level since 2021. The firm said youth unemployment in the UK is now rising at the fastest rate among the G7 economies.
Official figures published earlier this month by the Office for National Statistics showed the unemployment rate rose to 5.1 per cent in the three months to October – the highest level since the pandemic began. The ONS also confirmed that the UK economy contracted by 0.1 per cent in October, adding to concerns about weak demand.
The deterioration in sentiment helped the Bank of England cut interest rates to 3.75 percent from 4 percent in an effort to stimulate growth and support jobs.
Competition for available roles has intensified as vacancies have dwindled. Adzuna estimates that there are now more than two candidates for every advertised job, increasing the pressure on applicants in many fields.
Although advertised wage growth remains high at more than 7 per cent according to Adzuna data, this is in contrast to official wage figures from the ONS, which show private sector wages rising by close to 3 per cent – suggesting a disconnect between advertised wages and real wage growth.
Sector-level data points to a particularly sharp decline in transport, where vacancies fell by around 15 per cent in the month. Retail roles fell 5 percent, reflecting weak consumer demand at a critical time of year.
Retailers will be hoping for a late rise in spending to save the Christmas period, but the ONS reported last week that retail sales fell by 0.1 per cent in November despite Black Friday moving into the middle of the month – a worrying sign for a sector that relies heavily on end-of-year trade.
As vacancies continue to decline and employers remain cautious, economists warn that the job market may remain under pressure in the new year unless confidence improves and demand begins to stabilize.
