UK EMPLOYERS DEFY TURBULENT YEAR AS HIRING CONFIDENCE REMAINS MORE THAN DOUBLE LAST YEAR’S LEVEL

  • Despite political change, rising costs and geopolitical disruption, hiring confidence remains strong
  • Every UK region reports stronger hiring intentions than a year ago, led by a remarkable 40 point increase in the East of England

London, UK (08.09.26): UK employers are continuing to hire despite a year dominated by political change, economic uncertainty, geopolitical disruption and rising operating costs, as shown in the latest ManpowerGroup Employment Outlook Survey (MEOS)*.

The UK’s Net Employment Outlook (NEO) stands at +23% for Q4 2026. While this represents a moderation from Q3’s exceptional reading of +36% – driven in part by a wave of delayed recruitment decisions – hiring confidence remains more than double the +11% recorded in Q4 2025.

Four in ten employers (40%) expect to increase staffing levels during the final quarter of the year, compared with 17% planning workforce reductions.

Lee Chant, Managing Director (UK & Ireland), ManpowerGroup UK, said:

“At first glance, the story looks like hiring confidence has fallen, but that’s only true if you compare it to one of the strongest quarters we’ve ever seen.

“The real story is how employers have responded to the past 12 months. Businesses have faced political change, rising employment costs, geopolitical disruption and no shortage of uncertainty, yet they have continued to invest in people and plan for growth.

“Many would have expected confidence to weaken much further. Instead, UK employers have shown a level of resilience that shouldn’t be underestimated.”

Regional confidence broadens across the UK

One of the most striking findings in this quarter’s data is the breadth of improvement across the country. Every UK region reports stronger hiring intentions than it did a year ago. Continued investment in infrastructure, technology, energy, defence and local development projects is helping to drive demand for skills across sectors and regions.

The East of England (+35%) reports the strongest hiring outlook in the UK and the largest annual improvement, rising 40 percentage points year-on-year and recording its highest hiring outlook in two years.

Chant continues: “The fact that confidence has improved right across the country says a lot about the adaptability of UK businesses.

“Behind some of the tougher headlines, we’re seeing investment, opportunity and demand for skills continue to emerge.”

Employers continue hiring across every sector

UK employers in all nine sectors expect staffing levels to increase during Q4 2026.

The Information sector (+34%) reports the strongest hiring outlook nationally, while Hospitality records the largest annual improvement (+20 percentage points), followed by Trade & Logistics (+19 points) and Construction and Real Estate (+18 points).

Taken together, the results paint a picture of confidence spreading across the economy rather than being concentrated in a single sector. Many of the strongest year-on-year improvements are in sectors linked to long-term investment activity, indicating that major projects may be generating benefits across supply chains and supporting demand for skills throughout the wider economy.

Confidence improves across organisations of every size

UK employers in large organisations with 250 to 999 employees are the most optimistic, with a NEO of +31%. Even though their outlook decreased by 12 points since last quarter, it is still up by six points since this time last year.  

Employers in large enterprises (5,000 or more employees) report the greatest growth in NEO compared to the same quarter last year, with a 23 point increase. Globally, the UK ranks fifth for large enterprises’ year-on-year increase.

UK outlook remains ahead of major European economies

The UK’s hiring outlook of +23% sits above the European average of +20%, outperforming France (+13%), Germany (+15%), Italy (+16%) and Belgium (+16%).

Lee Chant concluded:

“When you consider what businesses have had to contend with over the past year, these figures are better than many would have expected. Employers have remained cautious, but they have not stopped hiring. As we approach 2027, the labour market is ending the year on firmer ground than many predicted.”

ENDS

NOTES TO EDITORS

A ‘Net Employment Outlook’ is calculated by subtracting those employers who plan to reduce staffing levels from those who plan to hire staff. A positive result indicates that more employers plan to increase rather than decrease staffing levels; a negative result reflects the opposite. For international comparisons and visual library with graphs, visit manpowergroup.com.

About the Survey

The world leader in innovative workforce solutions, ManpowerGroup releases the ManpowerGroup Employment Outlook Survey quarterly to measure employers’ intentions to increase or decrease the number of employees in their workforces during the next quarter. It is the longest running, most extensive, forward-looking employment survey in the world, polling 40,700 employers across 42 countries and territories. The survey serves as a bellwether of labour market trends and activities and is regularly used to inform the Bank of England’s Inflation Reports, as well as a regular data source for the European Commission, informing its EU Employment Situation and Social Outlook report, the Monthly Monitor. ManpowerGroup’s independent survey data is also sourced by financial analysts and economists around the world to help determine where labour markets are headed.

About ManpowerGroup

ManpowerGroup® (NYSE: MAN), the leading global workforce solutions company, helps organisations transform in a fast-changing world of work by sourcing, assessing, developing and managing the talent that enables them to win. We develop innovative solutions for hundreds of thousands of organisations every year, providing them with skilled talent while finding meaningful, sustainable employment for millions of people across a wide range of industries and skills. Our expert family of brands – Manpower, Experis, Brook Street and Talent Solutions – creates substantial value for candidates and clients across more than 75 countries and territories and has done so for over 75 years. We are recognised consistently for our diversity – as a best place to work for Women, Inclusion, Equality and Disability, and in 2026, ManpowerGroup was named one of the World’s Most Ethical Companies for the 17th year – all confirming our position as the brand of choice for in-demand talent. For more information, visit www.manpowergroup.co.uk, or follow us on LinkedIn, Facebook, Instagram and YouTube.

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