LONDON / RankWire.AI / – In July, the number of graduate vacancies advertised across the UK dropped nearly 50% compared to the same month last year, underscoring a tightening entry-level recruitment environment. Adzuna reported a total of 8,383 graduate roles listed during that month, down from 15,397 in July 2025. This represents approximately a 46% decrease. The latest figure also marks the lowest point since the platform started tracking graduate vacancies in April 2016. At its peak in 2017, graduate openings exceeded 55,000.
The competition for jobs has intensified not only among graduates but across the entire UK labour market. In July, there were 2.14 jobseekers per vacancy, up from 1.93 a year earlier. This ratio encompasses employment opportunities across various sectors rather than exclusively graduate positions. The graduate vacancy data are derived from online listings collected from over 1,000 sources, which means they reflect advertised graduate openings within that dataset rather than every potential job accessible to university graduates.
Broader employment figures indicate weaker demand in the overall job market. According to Office for National Statistics, there were an estimated 707,000 vacancies from May to July 2026, a decrease of 6,000 compared to the previous three months. This number was also 19,000 lower than the same period last year. Additionally, the ratio of unemployed people per vacancy increased to 2.5 in April through June, up from 2.3 during the same months in the previous year.
Graduate applicants confront increased competition
This summer saw a record number of young people securing UK undergraduate places. UCAS announced that 262,820 UK 18-year-olds had obtained offers by results day on August 13, which is a 3% rise from the 255,130 recorded at the same stage in 2025. The entry rate for UK 18-year-olds reached 31.6%. These figures provide additional context to a labour market where many future graduates will eventually compete for professional and entry-level roles.
Employers engaged in formal graduate recruitment programs are already experiencing stiff competition. The Institute of Student Employers recorded just over one million graduate applications during the 2024/25 recruitment cycle. Its survey revealed an average of 140 applications per graduate vacancy. These numbers highlight the high demand among applicants for established graduate hiring channels. They also coincide with the notable decline in advertised graduate vacancies seen in the latest monthly employment data.
Challenges persist in the UK job market
Since the implementation of changes to employer National Insurance in April 2025, employment costs have increased. The contribution rate rose to 15% from 13.8%, while the annual secondary threshold decreased from £9,100 to £5,000. According to the latest vacancy survey from the national statistics office, some small businesses have limited recruitment due to rising labour and operational expenses. The data also show vacancy levels declined in nine out of the 18 industry sectors surveyed.
Discussions around artificial intelligence are increasingly part of the conversation regarding entry-level jobs, though official analysis of its specific impact remains limited. Skills England noted in August that disentangling AI effects from broader labour market trends remains challenging. Meanwhile, between January and March 2026, 1.012 million people aged 16 to 24 were outside education, employment, or training—representing 13.5% of this age group and an increase of 89,000 compared to the previous year.