UK job vacancies have fallen below 700,000 for the first time since early 2021, according to official figures published by the Office for National Statistics (ONS) on Tuesday 20 October 2026.
The ONS estimates that there were 691,000 vacancies across the UK in July to September 2026, down 21,000 (2.9%) from April to June. The latest reading is the first below 700,000 since February to April 2021.
Recruitment slows across most industries
Vacancy estimates fell in 14 of the 18 industry sectors tracked by the ONS. Construction recorded the largest numerical quarterly decline, with 7,000 fewer vacancies. Employers with one to nine employees accounted for a fall of 21,000 vacancies, taking their estimated total to 77,000.
Compared with the same period in 2025, vacancies were down by 37,000, or 5.1%. The ONS said feedback from its survey suggests some smaller firms may be reluctant to recruit because of increased labour costs. That feedback does not establish that any particular government policy caused the decline.
Unemployment edges down despite fewer vacancies
The broader labour-market figures presented a mixed picture. The UK unemployment rate for people aged 16 and over was estimated at 4.7% in June to August 2026, down 0.1 percentage points on the quarter. The employment rate for those aged 16 to 64 was estimated at 75.3%.
Separate payroll data showed that the number of payrolled employees was 92,000 lower in June to August than a year earlier. The provisional September estimate was 66,000 lower than in September 2025, although it rose by 13,000 compared with August 2026.
Pay growth and economic outlook
Annual growth in regular earnings excluding bonuses was 3.7% in June to August. After adjusting for CPIH inflation, regular pay increased by 0.6% in real terms.
The figures arrive as the government prepares for its forthcoming Budget and faces scrutiny over economic growth, employment costs and recruitment.
Important context
The 21,000 quarterly reduction refers to the estimated number of unfilled vacancies, not 21,000 confirmed redundancies or jobs lost. The ONS notes that the quarterly vacancy change falls within its approximate confidence interval of plus or minus 32,000. It describes the labour market overall as broadly flat in 2026.