What challenges are UK university graduates facing in the job market?

Graduates are facing one of the most competitive job markets in decades, with only 27% securing jobs by February 2025, down from 33% two years ago. They are making a record number of applications, but the threat of AI automating half of entry-level jobs within 5 years adds to the challenges.

How has the number of graduate job postings changed in recent years?

The number of roles advertised for recent graduates has fallen by 33% compared to last year, with postings in desirable sectors like HR, marketing, and accounting plummeting by up to 78%.

What factors are contributing to the difficulties faced by UK graduates?

Economic uncertainty, high inflation, and a reversal of the post-Covid hiring boom have all dragged on the labor market, while the growing number of graduates has outpaced the available jobs. The threat of AI automation is also adding to the challenges.

Home / Business and Economy / Graduates Struggle to Find Jobs as Hiring Slows and Applications Surge

Graduates Struggle to Find Jobs as Hiring Slows and Applications Surge

30 Aug

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Summary

27% of final-year students secured jobs by February 2025, down from 33% two years ago
Graduates making record 21.7 applications each, up from 12.7 in 2023
AI threatens to automate half of entry-level jobs within 5 years

Graduates Struggle to Find Jobs as Hiring Slows and Applications Surge

In 2025, UK university graduates are struggling to find their place in one of the most competitive job markets in decades. Economic uncertainty, high inflation, and a reversal of the post-Covid hiring boom have dragged on the labor market in recent years, leaving many graduates with only one option: study more, work more, and apply more.

The latest survey shows the proportion of final-year students who have secured a job by the February before graduation dropped from 33% two years ago to 27% in 2025 - the lowest, aside from the pandemic year of 2021. On average, final-year students made a record 21.7 applications each this year, up from 12.7 in 2023, as they try to stand out from the crowd.

The difficulty is symptomatic of a broader malaise in the jobs market, with the number of roles advertised for recent graduates falling by 33% compared to last year. The threat of artificial intelligence, which could automate half of entry-level jobs within 5 years, adds fresh urgency to young people's search for stability and financial independence.

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