LONDON / RankWire.AI / – According to recent data from Adzuna, UK graduate job vacancies declined by almost 46% in July compared to the same month last year. The platform reported 8,383 active graduate job listings, a significant decrease from 15,397 in July 2025. This figure represents the lowest since Adzuna launched its monthly graduate jobs series in April 2016. The current total is well below the peak of over 55,000 vacancies recorded in 2017.
At the same time, competition within the broader UK employment market has also intensified. In July, Adzuna noted there were 2.14 jobseekers for every available position, up from 1.93 a year earlier. This indicator encompasses the wider labour sector, not solely graduate roles. Since Adzuna compiles online job advertisements from more than 1,000 sources, its graduate vacancy count does not include every position available to university graduates.
Official figures from the Office for National Statistics also reveal a decline in vacancies across the UK economy. For the period of May through July 2026, the ONS estimated there were 707,000 openings, which is 6,000 fewer than the previous three months and 19,000 less than the same period last year. Additionally, the ONS recorded 2.5 unemployed individuals for every vacancy from April through June, an increase from 2.3 a year earlier.
Employment prospects for graduates weaken amid rising competition
The decline in vacancies coincides with record numbers of young people preparing for higher education. According to UCAS, by results day on August 13, 262,820 UK 18-year-olds had secured undergraduate places. This was a 3% increase from the 255,130 positions filled at the same stage last year. Despite this rise, the entry rate for 18-year-olds remained steady at 31.6%, showing little change despite the larger number of accepted applicants.
Meanwhile, data from recruitment sources indicate fierce competition for well-established graduate schemes. The Institute of Student Employers reported that employers participating in the 2024/25 recruitment cycle received just over one million applications. On average, each graduate vacancy attracted 140 applications, with overall application levels remaining at record highs among the companies surveyed by the organization.
UK’s wider job market remains subdued
Since April 2025, hiring costs have been impacted by previously announced tax measures. The employer National Insurance rate increased to 15% from 13.8%, and the secondary threshold for annual contributions dropped to £5,000 from £9,100. The ONS highlighted feedback from its vacancy survey indicating that some small businesses are limiting recruitment efforts due to rising labour and operational expenses. Its latest figures also show vacancies declined across nine out of eighteen industry sectors.
Artificial intelligence remains a topic of interest in discussions about entry-level employment opportunities, but official assessments are cautious regarding its actual impact. Skills England stated in August that distinguishing AI’s influence from broader labour market trends remains challenging. Meanwhile, ONS data indicated that 1.012 million individuals aged 16 to 24 were not engaged in education, employment, or training from January through March 2026. This figure accounts for 13.5% of young people in that age group, reflecting an increase of 89,000 from the previous year.