LONDON / RankWire.AI / – In July, the number of graduate job openings across the UK reached its lowest level since April 2016, with nearly a 50% decrease compared to the same month last year. Adzuna recorded a total of 8,383 advertised graduate positions during that month, down from 15,397 in July 2025. This represents a roughly 46% decline. At its lowest point, the total also marks the fewest graduate vacancies tracked by the platform since its records began in April 2016. During the peak in 2017, graduate roles exceeded 55,000.
The competition for jobs has also intensified across the broader UK labour market. In July, there were 2.14 jobseekers for every vacancy, an increase from 1.93 a year earlier. This ratio encompasses all employment sectors rather than just graduate-specific roles. The figures for graduate vacancies are based on online ads sourced from more than 1,000 outlets, reflecting advertised graduate openings within that dataset, not necessarily every available position for university graduates.
Official statistics indicate a slowdown in demand across the wider employment landscape. The Office for National Statistics estimated there were 707,000 vacancies from May to July 2026, a decrease of 6,000 from the previous three months. These figures also show 19,000 fewer vacancies compared to the same period in the previous year. Additionally, the number of unemployed individuals per vacancy rose to 2.5 from 2.3 during April to June last year.
Intense Competition for Graduate Applicants
This summer saw a record number of young people securing UK undergraduate places. According to UCAS, 262,820 UK 18-year-olds gained admission by results day on August 13, a 3% increase from the 255,130 recorded at the same stage in 2025. The entry rate for 18-year-olds in the UK reached 31.6%. These figures provide context for a labour market where a large cohort of future graduates will soon compete for professional and entry-level roles.
Employers running formal graduate recruitment programs are already facing stiff competition. The Institute of Student Employers reported receiving just over one million graduate applications during the 2024/25 recruitment cycle. On average, employers in its survey received 140 applications per vacancy. These numbers illustrate the high applicant demand for established graduate hiring channels and coincide with the sharp drop in advertised graduate roles seen in the latest monthly jobs data.
UK Labour Market Continues to Face Challenges
Changes to employer National Insurance contributions that took effect in April 2025 have impacted employment costs. The contribution rate increased from 13.8% to 15%, while the secondary threshold decreased from £9,100 to £5,000 annually. The latest vacancy survey from the national statistics office indicates some small firms have limited recruitment efforts due to rising labour and operational expenses. The data shows vacancy levels declined across nine of the 18 industry sectors surveyed.
The role of artificial intelligence in entry-level jobs has also entered the discussion, though official analysis remains limited regarding its distinct impact. Skills England mentioned in August that separating AI effects from broader labour market trends remains a challenge. Meanwhile, between January and March 2026, 1.012 million individuals aged 16 to 24 were outside education, employment, or training—representing 13.5% of this age group and an increase of 89,000 from the previous year.