New data shows graduate job listings have hit their lowest level since 2016, as employers cite rising costs and the adoption of AI.
Key facts
- •Graduate vacancies fell from 15,397 in July of last year to 8,383 this July.
- •The number of graduate roles is currently at its lowest level since 2016.
- •Competition for jobs has increased to 2.14 seekers per vacancy.
- •The youth unemployment rate for 16-to-24-year-olds was 16.2% in the three months to March 2026.
- •The government has announced a £2.5bn youth employment package.
Graduate job vacancies in the UK have fallen by nearly half over the past year, according to data from the job site Adzuna. The platform recorded 8,383 graduate roles in July, a sharp decline from the 15,397 positions available during the same period last year. This drop marks the lowest number of graduate vacancies since Adzuna began tracking this data in 2016.
By the numbers
Market pressures and competition
Businesses report that rising costs, specifically related to minimum wage hikes and employer national insurance, have made hiring junior staff more expensive. Additionally, companies are increasingly utilizing AI to screen job applications, a trend that has caused frustration among applicants. Competition for available roles is also intensifying, with an average of 2.14 job seekers per vacancy in July, compared to 1.93 a year ago. While sectors such as travel, teaching, and construction have seen a recent rise in vacancies, fields including healthcare, nursing, hospitality, and logistics have experienced a decline. Adzuna co-founder Andrew Hunter noted that employers have yet to find a compelling reason to increase hiring for recent graduates.
Youth unemployment and government response
Official data indicates that the youth unemployment rate for 16-to-24-year-olds reached 16.2% in the three months leading to March 2026, with the number of young people not in education, employment, or training exceeding one million. Former government minister Alan Milburn is currently leading a review into the youth unemployment crisis, noting a contraction in entry-level and part-time roles. In response, Prime Minister Andy Burnham has updated public contract rules to require bidding companies to demonstrate how they will generate jobs and training. A government spokesperson stated that the administration is committed to addressing these challenges through a £2.5bn youth employment package intended to provide nearly one million opportunities for learning or earning.
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This article was independently rewritten by ManyPress editorial AI from reporting originally published by BBC Business.
