The latest UK Report on Jobs, produced by KPMG and the Recruitment and Employment Confederation (REC), provides a crucial snapshot of current labour market conditions. Compiled by S&P Global from responses gathered from around 400 UK recruitment and employment consultancies, including Pure, the report offers valuable insights into hiring trends, candidate availability, and salary dynamics.

As the leading professional recruitment consultancy for the East of England, Pure is committed to keeping businesses informed of market shifts. Here, we break down the key takeaways from February’s report and what they mean for employers navigating today’s evolving hiring landscape.

Encouraging signs in recruitment activity

Certain sectors in the East of England are demonstrating resilience, with businesses continuing to hire strategically despite economic pressures. Industries such as professional services, technology, and healthcare are maintaining steady demand, as employers recognise the long-term benefits of securing high-quality talent in a more balanced job market. This reflects a continued focus on specialist skills and experienced professionals, helping businesses stay competitive and prepared for future growth.

Hiring activity showed signs of improvement in February, with the rate of decline slowing compared to the start of the year. While permanent staff placements have now softened for 29 months, the latest dip was the mildest since October. This suggests that businesses, though still cautious amid economic uncertainty and rising payroll costs, may be gradually regaining confidence in their hiring decisions.

Encouragingly, more businesses are recognising the benefits of hiring strategically to build resilience. Those who continue to invest in talent—whether through permanent roles or interim professionals are likely to be best placed to take advantage of market improvements.

What this means for employers: This is a great time to reassess hiring strategies. Businesses that maintain a proactive approach can secure top talent before competition increases. Investing in interim professionals can also provide the flexibility to scale up as confidence grows.

Starting salaries stabilising

The report highlights that starting salary growth has slowed, reaching its lowest rate in four years. This trend is linked to improved candidate availability, a more balanced job market, and businesses managing budgets more carefully.

What this means for employers: While salary expectations may be stabilising, quality candidates remain in high demand. Employers should focus on creating compelling job offers that highlight career development opportunities, workplace culture, and flexible working arrangements.

Quality over quantity: finding the right candidates

A key takeaway from the report is the significant rise in candidate availability. This reflects an increase in redundancies and fewer job opportunities in some sectors, leading to a larger talent pool. However, this doesn’t necessarily mean hiring is easier as finding the right talent still requires expertise and strategic recruitment.

What this means for employers: With more candidates on the market, businesses have an excellent opportunity to secure high-calibre professionals. However, identifying the right fit requires careful screening and a strong understanding of both skills and cultural alignment. Working with a trusted recruitment partner ensures businesses attract the right people for long-term success.

Regional insights: a focus on leadership and succession planning

Since the start of the year, we’ve seen SMEs in the East of England prioritising leadership appointments and succession planning. Many businesses are taking advantage of the availability of high-quality candidates for key roles, particularly in interim and temporary positions, to strengthen their leadership teams and prepare for future growth.

What this means for employers: For businesses considering long-term succession strategies, now is an ideal time to make key appointments. The availability of experienced interim leaders presents an opportunity to bring in expertise quickly, ensuring stability and continuity during periods of change.

How Pure can support your hiring strategy

At Pure, we understand the challenges and opportunities in today’s recruitment market. As one of the recruitment consultancies contributing to the UK Report on Jobs, we have first-hand insights into hiring trends and candidate availability. We work closely with businesses across the East of England to provide strategic recruitment solutions, helping employers attract and retain the best talent.

If you’re planning your next hire or want to discuss workforce strategies, our team is here to help.