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The 2025 UK labour market shows mixed wage trends, declining postings, and resilience. Workers demand flexibility and transparency, while employers must adapt to evolving workplace behaviors amid uncertainty.
Key Takeaways The UK labour market remains relatively tight, with 1.9 unemployed people per vacancy, though job postings are declining, now below pre-pandemic levels—the only major economy showing this trend. Wage growth is cooling but remains higher than in the eurozone and U.S. rates, while salary transparency has significantly increased, with most job postings now including pay information. Workers increasingly prioritize flexibility and work-life balance, with many willing to forgo promotion for remote work or accept lower pay for unlimited remote flexibility.
