British employers remain reluctant to hire, and confidence has stayed near its weakest levels outside the COVID-19 pandemic, according to a survey published in London on Monday, Aug 17, by the Chartered Institute of Personnel and Development (CIPD).
The survey was published a day before official data is also expected to paint a weak picture of the labour market, something the Bank of England is watching as it considers its next moves on interest rates, which have been on hold since December 2025.
The CIPD's net employment balance held at +9, close to its lowest level outside the pandemic. Private-sector hiring intentions remained at +11, matching a record low outside the pandemic. Some 57% of private-sector employers plan to recruit in the next three months, also a joint post-pandemic low.
Redundancy levels have not risen, and the CIPD sees a "low-hire, low-fire" labour market. Median expected pay rises remained at 3%, their level for more than two years. Some 31% of employers had hard-to-fill vacancies, and 14% expect significant recruitment difficulties in the next six months.
The CIPD called for lower hiring costs and more support for youth employment. The survey was based on responses from 2,017 employers between June 24 and July 24.
Writing by William Schomberg, editing by Andy Bruce.
