LONDON / RankWire.AI / – In July, the number of available graduate positions across the UK decreased by nearly 50% compared to the same month in the previous year, indicating a tightening in the entry-level recruitment landscape. Adzuna documented 8,383 advertised graduate roles during that month, a drop from 15,397 in July 2025. This represents a decline of about 46%. The current total also signifies the lowest figure recorded since the platform started monitoring graduate vacancies in April 2016. At its peak in 2017, graduate job openings surpassed 55,000.
The competition for jobs has also intensified within the broader UK labour market. In July, there were 2.14 jobseekers per vacancy, up from 1.93 a year earlier. This ratio encompasses all sectors of the economy, not just graduate-specific roles. The graduate vacancy data derive from online ads gathered from over 1,000 sources, thus reflecting advertised graduate positions within that dataset rather than every potential role available to university graduates.
Official figures point to a weakening demand in the wider employment sector. The Office for National Statistics estimated 707,000 vacancies between May and July 2026, marking a decrease of 6,000 from the previous three months. These vacancies are also 19,000 fewer than those recorded a year earlier. Additionally, the ratio of unemployed people to vacancies increased to 2.5 in April through June, compared to 2.3 during the same period last year.
Graduate applicants facing increased competition
A record-breaking number of young people secured undergraduate places in the UK this summer. According to UCAS, 262,820 UK 18-year-olds had gained admission by results day on August 13, which is 3% higher than the 255,130 recorded at the same point in 2025. The entry rate for UK 18-year-olds reached 31.6%. These figures provide context for a labour market where a large pool of future graduates will compete for professional and entry-level positions in the future.
Recruitment competition among employers running formal graduate programs is already intense. The Institute of Student Employers reported over one million graduate applications during the 2024/25 recruitment cycle. Its survey indicated an average of 140 applications per graduate vacancy, reflecting high applicant demand through established hiring channels. These figures complement the sharp decrease in advertised graduate vacancies noted in the latest monthly jobs data.
UK employment landscape faces ongoing challenges
Since the implementation of changes to employer National Insurance contributions in April 2025, employment costs have increased. The contribution rate rose from 13.8% to 15%, while the secondary threshold fell from £9,100 to £5,000 annually. The latest vacancy survey from the national statistics office highlighted that some small businesses reported holding back on hiring due to rising labour and operational expenses. Data showed vacancy levels decreased across nine of the 18 industry sectors included in the survey.
Discussions around artificial intelligence as a factor in entry-level employment have gained attention, though official analysis on its specific impact remains limited. Skills England noted in August that distinguishing the influence of AI from broader labour market trends is still challenging. Meanwhile, in the first quarter of 2026, 1.012 million individuals aged 16 to 24 were outside education, employment, or training, representing 13.5% of that age group—an increase of 89,000 from the previous year.