While vacancies in the UK may be declining, the latest data from the Association of Professional Staffing Companies (APSCo) suggest this is more likely driven by skills shortages than a reduced demand.

The data - provided by the global leader in software for the staffing industry, Bullhorn – revealed that while new vacancies are dropping – with permanent roles down 43% last month on pre-Covid levels recorded in November 2019 – placements are growing.

Since November 2019, the number of people placed in a new job has increased 7%. Compared to 2018, placements are up 11%, with figures increasing 41% since November 2017. According to APSCo, this suggests that the decline in vacancies is demonstrative of firms taking longer to fill roles and reigning in new jobs as a result.

Ann Swain, Global CEO of APSCo comments: “We’ve known for some time that the UK’s skills shortages were having a growing impact on recruitment and this latest data really does re-enforce this.

"There may be a slow-down in new jobs at the moment, but that doesn’t mean that the staffing market is grinding to a halt. In fact, what we are seeing at the moment is a delay in new roles being added while outstanding placements are filled, hence the uptick in permanent placements alongside new vacancy declines."

“It’s unlikely that we’ll see a solution to these skills shortages any time soon, so recruitment firms can head into the New Year reassured that demand for the services is still going to remain buoyant.”