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Graduate job vacancies fall to decade low amid AI fears

Graduate job vacancies in the UK have reached their lowest level in a decade, with 8,383 roles advertised in July, a 45% decrease from last year. Despite this, experts suggest university remains a valuable investment for most.

  • Graduate job vacancies in the UK fell to 8,383 in July, a 45% drop compared to the previous year.
  • The Institute for Fiscal Studies (IFS) projects that most university graduates will be £100,000 better off over their lifetime.
  • Some universities are introducing programmes to boost graduate employability, such as guaranteed work placements or paid internships.

Graduate job vacancies in the UK have fallen to their lowest level in a decade, with only 8,383 jobs for university leavers advertised in July. This represents a 45% decrease compared to the same period last year, according to recruitment website Adzuna, amidst concerns that AI is impacting entry-level roles.

Despite the decline, Nick Hillman, chief executive of the Higher Education Policy Institute, maintains that higher education remains a "very, very good bet." He argues that in a challenging labour market, qualifications offer greater insulation, and that people without skills are faring "much, much worse."

Research from the Institute for Fiscal Studies (IFS) estimates that while one in four UK graduates may be financially worse off, particularly those with creative arts degrees, the majority are projected to be £100,000 better off over their lifetime. Kate Ogden, a senior research economist at the IFS, notes that university still appears to be a "good financial bet for most people."

Universities are also adapting to the changing job market. The University of Manchester is offering work placements to all undergraduates, while Sheffield Hallam University is guaranteeing students a paid internship if they are not employed or in further study 12 months after graduation, starting this September.

Dan Hawes, co-founder of the Graduate Recruitment Bureau, advises students to carefully consider their subject and university choice, noting that "all degrees are not equal." He also stresses the importance of making the most of university life to build skills and confidence for future careers.

Why this matters: The decline in graduate job vacancies and concerns about AI's impact on entry-level roles highlight a changing landscape for those considering higher education.

What this means for you: If you are a sixth-former considering university, or an undergraduate, you may need to carefully consider your course choice and actively seek opportunities to maximise your employability.

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