The number of graduate job vacancies has fallen by almost half over the past year, with employers reducing entry-level positions due to rising costs and the integration of artificial intelligence, according to figures from jobs website Adzuna. In July, Adzuna recorded 8,383 graduate vacancies, a significant decrease from 15,397 during the same period last year.
This decline marks the lowest level for graduate vacancies since Adzuna began tracking this data in 2016. The peak for such roles was observed in 2017, when over 55,800 vacancies were listed on the site, more than six times the current figure.
Competition among job seekers across all employment levels has also intensified. Adzuna reported an average of 2.14 job seekers per vacancy in July, up from 1.93 a year prior. Businesses have attributed the increased cost of hiring, particularly for junior staff, to factors such as increased employer national insurance contributions and hikes in the minimum wage.
Andrew Hunter, co-founder of Adzuna, noted that employers have not yet found compelling reasons to expand hiring for recent graduates. Official UK statistics indicate that the youth unemployment rate, encompassing individuals aged 16 to 24, stood at 16.2% for the three months ending March 2026. The number of young people not in education, employment, or training (Neet) has now surpassed one million.
Young individuals have previously expressed frustration to BBC News about applying for numerous jobs without receiving responses. They also voiced concerns over the increasing use of AI in screening job applications, a trend that adds to the challenges faced by graduates already contending with substantial student debt.
Former government minister Alan Milburn is spearheading a review into the youth unemployment crisis, having previously stated that the availability of entry-level and part-time positions, traditionally filled by younger workers and students, is diminishing.
While vacancies in sectors such as travel, teaching, and construction have seen increases in recent weeks, other areas including healthcare, nursing, hospitality, and logistics have posted fewer openings. Prime Minister Andy Burnham has recently modified public contract regulations to require companies bidding for contracts to demonstrate how they will generate job and training opportunities.