UK graduate jobs plunge nearly 50% in one year

The number of jobs available to university graduates in the UK has fallen sharply over the past year, with new data showing that graduate vacancies have dropped by almost half.

Jobs platform Adzuna recorded 8,383 graduate vacancies in July, compared with 15,397 during the same month a year earlier. The figure represents one of the weakest points in the graduate employment market since Adzuna began tracking such vacancies in 2016.

The decline comes as businesses face higher employment costs and increasingly explore artificial intelligence as a way to reduce the need for entry-level workers. Employers have also warned that increases in national insurance contributions and the minimum wage have made recruitment more expensive, particularly for junior positions.

Competition for available jobs has also intensified. Adzuna found that there were an average of 2.14 job seekers competing for each vacancy in July, compared with 1.93 per position a year earlier.

The latest figures highlight growing concerns about the ability of young people to secure their first jobs after completing university. Many graduates are entering a market where companies are reducing junior positions while demanding more experience from applicants.

Graduate vacancies are now at their lowest level since Adzuna began publishing the data. The contrast with previous years is particularly striking. In 2017, the website recorded more than 55,800 graduate vacancies, more than six times the number available in July this year.

Adzuna co-founder Andrew Hunter said employers had yet to regain confidence in expanding recruitment for recent graduates. The figures suggest that businesses remain cautious about increasing their workforce despite continued demand for skilled workers in some areas.

The wider employment picture for young people is also concerning. Official statistics put the UK unemployment rate for people aged 16 to 24 at 16.2% in the three months to March 2026. More than one million young people are also estimated to be outside education, employment or training.

Young job seekers have described increasingly difficult experiences in finding work. Some graduates have reported submitting applications for hundreds of positions without receiving a response. Others have raised concerns about automated recruitment systems, saying artificial intelligence is increasingly being used to screen applications before candidates can reach employers.

The financial pressure on graduates is further complicated by student debt, making prolonged periods without employment particularly difficult for many young people.

Former government minister Alan Milburn is leading a major review into the country’s youth unemployment problem. He has previously warned that the supply of entry-level positions is shrinking, alongside a decline in part-time work traditionally taken by teenagers and students.

Not every sector has experienced a decline. Adzuna reported increases in vacancies in areas including travel, teaching and construction in recent weeks. However, job opportunities fell in several other industries, including healthcare, nursing, hospitality and logistics.

The government is also looking at ways to encourage employers to provide more opportunities for young people. Prime Minister Andy Burnham recently introduced changes to public procurement rules requiring companies seeking government contracts to demonstrate how they will contribute to job creation and training.