Artificial intelligence is creating a two-speed jobs market in the UK, with demand shifting toward senior technology roles.

A Bloomberg analysis based on Indeed data shows that UK companies posted approximately 10% fewer job advertisements in July compared to January 2025.

During the same period, job postings in software development in the UK rose by 14%.

14% increase

In software development job postings

Sectoral Divergence

Hiring in information technology and engineering sectors in the UK remains strong.

In contrast, hiring in retail, manufacturing, and certain white-collar professions, such as accounting and marketing, has declined in the UK.

Job postings in the manufacturing sector in the UK have declined by 58% since June 2022.

Economic Indicators

Youth unemployment in the UK has reached its highest level in the last 10 years.

Low hiring, low firing
— Bank of England Governor Andrew Bailey

Governor of the Bank of England Andrew Bailey described the UK economy as being in a period of this hiring and firing trend.