Overview
- Online job postings in the UK fell 31% in the three months to May 2025 compared with the same period in 2022, with roles highly exposed to AI plunging by 38%.
- Listings for entry-level and junior positions have dropped nearly a third since late 2022, intensifying competition for apprenticeships, internships and no-degree roles.
- Major firms including BT, Amazon, Ocado and Microsoft have attributed recent workforce cuts in part to investments in AI and digital automation.
- Economists attribute much of the hiring slowdown to rising labour costs, high borrowing rates and sluggish growth rather than accelerating AI investment.
- The UK government has invested £44 billion in AI since last year, creating about 13,000 jobs and training 7.5 million people in AI skills to offset potential displacement.