Talent Trends Report - May 2026

Permanent hiring is cautious. Contract and interim hiring is doing the heavy lifting.

The latest REC/KPMG April data shows permanent placements softening again while temporary billings nudged back into growth, a sign employers are choosing flexibility over delay.

This month’s report focuses on what that means in regulated markets (insurance, insurtech, fintech) and what to do next without losing control of IR35, screening and onboarding.

Download the May report for a practical read of the latest REC/KPMG April data, plus a practical IR35 & screening checklist you can use immediately.

What you’ll get when you download

This report is built for hiring leaders in regulated and high-scrutiny environments (insurance, insurtech, fintech, financial services).

Inside the report you’ll get:

  • the key signals from REC/KPMG April data

  • what this shift usually triggers inside organisations

  • the “controlled flexibility” approach: how to keep hiring moving without chaos

  • a practical IR35 + pre-employment screening checklist

  • How Vermelo supports clients via MSP, Flexible Embedded (RaaS) and Talent Advisory

What’s changed in the market

The latest REC/KPMG data points to a familiar pattern in uncertain conditions:

  • permanent hiring remains cautious

  • contractor/interim demand is picking up

  • employers are making more “selective yes” decisions

What that means: if you’re leaning more on contract and interim talent, governance matters — IR35 decisions, screening checks, onboarding consistency, supplier control, and visibility on spend.

Why this matters in regulated & high-scrutiny markets

When permanent hiring slows, regulated businesses don’t stop. They get selective. The work still needs doing - regulatory delivery, operational resilience, risk control, data reliability, cyber security, pricing performance - so interim and contract hiring becomes the pressure valve.

The problem is what happens next:

  • IR35 decisions become inconsistent

  • screening standards vary by supplier or hiring manager

  • onboarding slows and good talent drops out

  • rates drift and spend visibility disappears

  • audit readiness becomes “we’ll pull it together”

Get an audit ready IR35 & screening checklist

This month’s report includes a practical IR35 & screening checklist you can use immediately:

  • IR35 status decision support + documentation prompts

  • consistent pre-employment checks (Right to Work, ID, role-appropriate screening)

  • onboarding evidence trail

  • supplier control and rate discipline

  • quick scoring to identify risk

How Vermelo helps

If your hiring model is shifting, we can help you keep it deliberate:

  • MSP: contractor/interim governance, onboarding, IR35 support, supplier control

  • Flexible Embedded: embedded delivery capacity with measurable performance and compliance adherence

  • Talent Advisory: workforce planning (what to hire perm vs flex), capability mapping, hiring roadmap

Contact Santa BrownSanta.Brown@VermeloRPO.com | 07304 094171 or book a short discovery call.

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Talent Trends Report - April 2026