UK Permanent Hiring Falls, Pay Growth Quickens

UK hiring lost momentum in October, with permanent placements contracting for the first time in four months and temporary hiring also weakening, according to a REC-KPMG survey. The slowdown was broad across much of England, while London continued to record growth in permanent placements; candidate availability improved and vacancies fell more slowly. Despite weaker hiring, starting pay for permanent roles rose faster, suggesting employers still face competition for some skills. Recruiters cited higher costs, economic uncertainty and rising interest rates, while employers also worry that forthcoming employment-rights reforms could add costs and make flexible staffing harder, particularly in retail and hospitality.