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U.K. job vacancies saw the fastest month-on-month growth in three years in February, according to data published on Monday that contrasted with a largely gloomy outlook for the economy.
Job search company Adzuna said the 3.7% increase from January was led by its graduate and healthcare and nursing categories and followed months of slow or no growth in postings.
Vacancies remained down compared with February 2024 but the 0.8% annual drop was the smallest since July 2022.
Andrew Hunter, Adzuna’s co-founder, said February’s monthly increase was surprising given lower-than-expected economic growth and persistent inflation pressures.
Other surveys have painted a weaker picture of the labor market. The Recruitment and Employment Confederation said its figures showed a fall in demand for staff in February.
Last week, the government’s budget watchdog halved its forecast for economic growth in Britain this year to 1%.
Hunter said advertised salaries had outpaced inflation for 10 months in a row and they rose by more than 7% in annual terms in February for a third straight month.
“It’ll be interesting to see if this growth continues in March as we get closer to the introduction of new employer costs,” he said.
In her first full budget last October, finance minister Rachel Reeves announced an increase in employers’ social security contributions which is due to start in April alongside a nearly 7% increase in Britain’s minimum wage.
(Reporting by Ben Ezeamalu; Editing by William Schomberg)
