Talent Trends Report - September 2026
After what has seemed to be a very long 47 months of decline, UK permanent hiring grew in August 2026. Our September Talent Trends Report explains what changed, what the official data says about the road ahead and how to make sure your organisation can hire the moment your board says go.
August 2026 in five numbers
Fresh from the KPMG/REC UK Report on Jobs and the ONS Labour Market Overview:
50.5 - UK permanent placements grew for the first time in 47 months
53.6 - London recorded the fastest growth of the English regions, its second straight monthly rise
5 months - Temp and contract billings have now risen for five consecutive months, and quicker in August than July
7-month high - UK starting salaries rose at their fastest pace since the start of the year, while London pay growth cooled
45 months - London candidate availability has risen for 45 consecutive months. More choice for employers, for now
The official data backs it up: ONS vacancies fell by just 6,000 on the quarter to 707,000, unemployment held at 5.0%, and average weekly earnings rose 5.2% to £869 with pay up in all 12 UK regions and nations.
This is a restart, not a surge - and that is the good news
One month of marginal growth does not make a recovery. But permanent placements, temp billings, London vacancies and starting salaries all pointing the same way in the same month is a pattern, and it is the pattern that has opened every previous recovery. The restart is real. The pace is gentle (and fragile). That combination gives you the one thing hiring teams rarely get: time to get ready before the mass rush.
Four years of stop-start hiring has left many organisations without the hiring engine (or capacity) to act quickly. In-house talent teams were trimmed, supplier lists went stale and hiring processes went unused. The September report is about closing those gaps now, while it is cheap to do so.
What is inside the September report
Why we think this one sticks - the evidence for a sustained restart and what we are watching
The foundations beneath the headlines - what the ONS data says about how the recovery is likely to unfold, and in what order
The restart advantage - why rebuilding hiring capability from a clear deck is a rare chance to build it better
The 12-question hiring readiness test - score your engine, your partners, your market position and your plan
Fixed team vs flexible capacity - two ways to hold hiring capability, and what each means now the restart has begun
Who the report for
HR directors, heads of talent and business leaders who expect to hire in the next two quarters - particularly in insurance, financial services and other regulated sectors - and who want to know whether their hiring engine can deliver at pace, at quality and at a sensible cost when the volume returns.
Complimentary Hiring Readiness Review
A short, honest conversation covering your score on the twelve questions within the report, the critical roles worth benchmarking, where your process loses time (and candidates), and what flexible hiring capacity could look like for you. No commitment. Get in touch.
Vermelo is an award-winning talent solutions partner delivering RPO, Embedded Talent (RaaS), MSP and Talent Advisory, with specialist expertise in insurance, financial services and regulated sectors.
01892 553360 | info@VermeloRPO.com
FAQs
Is the UK 2026 hiring market recovering? The August 2026 KPMG/REC data recorded the first rise in UK permanent placements for 47 months, alongside a fifth consecutive month of temp billings growth and the fastest rise in starting salaries for seven months. The recovery is early and uneven, but the direction has changed.
What is a hiring readiness test? The September report includes a twelve-question self-assessment of whether your organisation can hire at volume when demand returns - covering your internal capability, your supplier arrangements, your market and pay intelligence, and your plan. The September report includes a twelve-question version.
What is the difference between RPO and Embedded Talent? RPO (Recruitment Process Outsourcing) hands the whole hiring engine - sourcing, process, technology, employer brand and delivery - to a specialist partner. Embedded Talent (Recruiter-as-a-Service) places experienced recruiters inside your team, working under your brand, scaling up and down with demand.