Communities across the UK are feeling the impact of a worsening jobs market for young people, as new figures show a sharp rise in the number of graduates unable to find work more than a year after finishing university.
Research from Prospects at Jisc has revealed that 56,900 graduates are still out of work 15 months after completing their studies.
This represents 6.2 percent of last year’s cohort and an increase of 8,000 compared with the previous year. The rise highlights the growing difficulty many young adults face in securing their first step on the career ladder.
Local employers, like those across the country, have scaled back entry level recruitment over the past year, citing tighter budgets and increased business costs such as national insurance contributions. With fewer vacancies available, competition for each role has intensified, leaving many graduates sending out dozens of applications before even securing an interview.
The picture for young people more broadly is also concerning. National statistics show that 946,000 people aged 16 to 24 are now not in education, employment or training at the end of September. This includes both young adults looking for work and those not currently seeking a job or study.
Data from the Higher Education Statistics Authority indicates that 56.4 percent of 2023 graduates were in full time employment 15 months after finishing their degrees, down from 59 percent for the previous year’s group. Many local authorities say they are seeing increased demand for employment advice, training opportunities and early career support.
The technology sector, once a reliable source of jobs for new graduates, has been particularly affected. Only 5.1 percent of 2023 graduates secured IT roles, compared with 6.7 percent the year before, as tech firms across the UK continue to slow hiring following rapid growth during the pandemic.
Recruiters are also facing unprecedented numbers of applicants for each vacancy, partly due to the use of artificial intelligence tools that make it easier to submit multiple applications. This has made it harder for employers to identify standout candidates and added further pressure to an already strained jobs market.
Experts warn that the job market is unlikely to improve significantly over the next year, meaning young people entering work may need to prepare for continued competition and slower career progression.
There is also a marked downturn in companies hiring. Figures from the Office for National Statistics show that overall UK vacancies fell to 723,000 in the three months to October, down from 822,000 in the same period a year earlier.
Local councils, job centres and careers services are encouraging young adults to seek support early, whether through skills training, apprenticeships, or tailored guidance to help them access the opportunities that remain available.
The Department for Work and Pensions was contacted for comment.
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