Overview

• 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.