The UK recruitment industry grew by 11% to £35.7 billion in 2017/18 despite ongoing Brexit uncertainty

The UK recruitment industry grew by 11% to £35.7 billion in 2017/18 despite ongoing Brexit uncertainty

Recruiters and associated HR services placed over 1.1 million people into permanent jobs in 2017/18, and were responsible for placing more than 1 million agency workers on any given day, according to new data published today by the Recruitment & Employment Confederation (REC).

The REC’s annual Recruitment Industry Trends report for 2017/18 showed that the total industry turnover from permanent and temporary/contract placements, and other HR services, reached £35.7 billion, an increase of 11 per cent on last year. £30.85 billion was generated through temporary/contract placement activity, and approximately £4.84 billion through permanent placements.

Recruitment Industry Trends 2017/18 also includes the REC’s forecast for the next three years, which remains positive despite the unknowns in the political landscape. The REC forecasts that the UK’s recruitment industry will grow by 4 per cent in 2018/19, 4.5 per cent in 2019/20 and 5 per cent in 2020/21.

Commenting on the report, REC chief executive Neil Carberry said:

“It has been an extraordinary year for recruitment and recruiters. Tight labour markets and quickly shifting skills needs have driven the growth of the industry – but only because recruiters have adapted swiftly to changing times. We see this increased value for clients reflected in our monthly survey feedback – recruitment is a key part of the UK’s world-leading professional services sector. We should celebrate an industry which boosts the economy and transforms candidates’ lives every single day. 

“The path ahead is uncertain – Brexit, immigration reform, tax changes, technology. But this report shows that recruiters can look at that uncertainty and see the opportunities. Whatever the coming months and years bring, recruiters will continue to use their skills and knowledge to boost the UK’s labour market and find people their perfect job.”
Simon Adcock, Head of Professional Services for HSBC UK, which supports recruitment businesses of all types and sizes, added:

“Despite current uncertainty, the recruitment industry’s focus on quality of service and its enthusiasm for technological innovation has seen it continue to flourish, boosting the wider UK economy. In a world where the way we work is becoming ever more flexible, the role of the recruiter in connecting people to opportunities and employers to people has never been as important. That’s why we remain firmly committed to firms in this vital part of the professional services sector.

 

** Source: https://www.rec.uk.com/news-and-policy/press-releases/the-uk-recruitment-industry-grew-by-11-to-35.7-billion-in-201718-despite-ongoing-brexit-uncertainty