UK Hiring Slumps to Four-Year Low Following Budget Tax Hikes

New data shows a sharp decline in job vacancies and business confidence as employers react to increased National Insurance contributions and other tax measures.

Job vacancies in November fell at the fastest rate since August 2020, with permanent roles seeing the steepest decline.
The Recruitment and Employment Confederation (REC) and KPMG report attributes the slowdown to businesses reassessing hiring plans after Chancellor Rachel Reeves's budget announcement.
The budget includes a £25 billion increase in employer National Insurance contributions, raising rates from 13.8% to 15% and lowering the earnings threshold from £9,100 to £5,000.
Business confidence has dropped to its lowest level in nearly two years, with concerns over rising costs, reduced consumer demand, and potential economic contraction.
While the government argues the tax measures are necessary to stabilize public finances and fund public services, business leaders warn of reduced investment, job cuts, and slower economic growth.