Data from recruitment website Adzuna showed that 8,383 graduate jobs were advertised in July, down 45.6% from a year earlier. The figure was the lowest since Adzuna began tracking graduate vacancies in 2016.

The number of candidates competing for each vacancy also increased, with an average of 2.14 jobseekers per vacancy, compared with 1.93 a year earlier.

"July's numbers are a step backwards, not a blip," Andrew Hunter, co-founder of Adzuna, told The Guardian.

Workers cross London Bridge during the morning rush-hour with skyscrapers of the City of London financial district seen behind, in London, Britain, Dec. 16, 2025. Photo by Reuters

The figures point to a sharp deterioration in the graduate market compared with a decade ago. In 2017, there were more than 55,000 graduate positions, according to The Guardian.

The weaker market has raised concerns about the prospects of young people entering the workforce, with some entry-level roles increasingly exposed to automation and artificial intelligence (AI), according to the BBC.

Businesses have also been tightening recruitment as they face higher payroll costs and minimum wages, while some are directing investment toward automation and AI tools rather than expanding their workforce.

The trend comes as young people report growing pessimism about their prospects. An analysis by the Institute for Public Policy Research (IPPR) published in June found that 16- to 21-year-olds had become less optimistic about their chances of success and more concerned about long-term unemployment.

In 2015, just one in 50 young people believed they were likely to become long-term unemployed. That figure is now around one in 14, with young women more likely than young men to expect unemployment, according to the IPPR.

Likewise, less than one in 50 young people believed they had a low chance of becoming successful in 2015. Ten years later, the figure is roughly one in 17.

IPPR warned that growing pessimism could have economic consequences if young people increasingly disengage from work, lower their ambitions or lose faith that effort will lead to a better life.

Data from the Office for National Statistics showed that an estimated 981,000 people aged 16 to 24 were not in education, employment or training (NEET) in April-June 2026. The figure was 30,000 higher than a year earlier, although it was down 30,000 from the previous quarter.

The government has responded by expanding technical education and apprenticeship opportunities. In July, Prime Minister Andy Burnham announced plans to give 14-year-olds earlier access to technical education, skills training, work experience and connections with employers.

The government also announced measures to expand access to apprenticeships, including free apprenticeship training for eligible under-25s and support for small and medium-sized businesses hiring young apprentices. The package aims to help deliver 50,000 new youth apprenticeships.

"In a fundamental change to the education system, we will introduce new technical education pathways from 14 – prestigious routes that will give students the chance to combine the core academic subjects with the skills, technical knowledge and experience they need to get quality, well-paid jobs where they live. My message to young people is this - whether you choose construction, coding or classics, or maths, manufacturing or mechanics, you'll get the skills you need and be given the respect you deserve," Burnham said in a government press release.

Adzuna's July 2026 report remains the latest monthly release specifically tracking graduate vacancies in the U.K.