**UK Job Postings Decline 11% as Graduate Demand Hits 2020 Low**
In a concerning trend for the UK job market, recent data reveals that job postings have fallen by 11% in the first half of 2026, with opportunities for graduates reaching their lowest levels since 2020. This downturn has been highlighted in a survey conducted by recruitment platform Indeed, which also noted a significant increase in demand for artificial intelligence (AI) skills.
According to Jack Kennedy, a senior economist at Indeed, the UK labour market is experiencing sustained pressure. "Hiring demand is falling across most parts of the economy, while posted wage growth is gradually cooling," he stated. This situation presents particular challenges for graduates and younger workers, who are now competing for a diminishing number of job opportunities.
The data indicates that job postings have decreased by 11% from the beginning of 2026 to mid-July, marking a stark 32% decline compared to levels seen before the COVID-19 pandemic. Specifically, graduate job postings have dropped by 7% year-on-year as of July 10, reaching their lowest point for this time of year since 2020. Furthermore, summer job postings, which typically include temporary and seasonal roles, have shown the weakest performance in four years.
Adding to the complexities of the current job landscape, advertised wage growth has slowed to 3.9% annually in the three months leading up to June, the lowest rate since February 2022. This decline in wage growth, coupled with reduced job availability, poses significant hurdles for young job seekers.
The youth unemployment crisis in Britain has worsened since the pandemic, with over one million individuals aged 16 to 24 reported to be not in education, employment, or training (NEET), according to previously released data. This alarming statistic underscores the urgency of addressing the challenges faced by young people entering the workforce.
Despite the overall decline in job postings, there is a notable surge in demand for AI-related skills. At the end of June, AI or related tools and programs were featured in 9.4% of job postings across the UK, marking a record high. This trend reflects the growing importance of technology and digital skills in the current job market, even as other sectors experience a downturn.
In response to these challenges, newly appointed Prime Minister Andy Burnham has announced plans to better align technical education and training for young people with local employment needs. This initiative aims to equip the younger workforce with the skills necessary to meet the demands of the evolving job market.
As the UK navigates this complex employment landscape, the focus on AI skills and the need for targeted educational initiatives will be crucial in addressing the challenges faced by graduates and young job seekers. The coming months will be critical in determining how these trends evolve and what measures can be implemented to support the workforce during this period of uncertainty.