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IT perm hiring down in Q2

The report, a quarterly IT jobs tracker that analysed over 55,000 jobs advertised between April and June 2015, reveals the overall number of roles advertised across all cities has declined quarter on quarter from 59,151 to 55,297. This quarter saw an 11% drop in advertised permanent vacancies, but a 3% rise in contractor roles, suggesting the ambiguity of the General Election prevented businesses from making any long-term decisions around recruitment.

Geoff Smith, managing director, Experis Europe comments, “It is likely that uncertainty in the run up to the General Election in May will have caused many organisations to postpone permanent hiring decisions until the election results were known. The possibility that this slowdown was only temporary, however, is reflected in our figures post-election, which showed a recruitment uplift in June. This could be an indication of increased business confidence in the new Government’s digital agenda, which vows to make Britain the technology centre of Europe and to build a digital economy comparable to Silicon Valley. For the remainder of the year, we expect to see further investment and a return to solid growth in IT recruitment.”

“This quarter’s findings indicate slow, but positive growth among tech cities outside of the Capital, with a 3% increase in the number of roles advertised.” Smith stated.

To reflect the developing digital landscape of Britain, the latest Tech Cities Job Watch report saw the addition of Leeds. This rapidly developing tech city now has the third highest hiring demand (2,732 roles advertised) behind London and Manchester.

                                                                                                                                     

Smith continues, “Leeds, another thriving tech city, not only benefits from strong transport links but is also quickly becoming home to many large corporates who are investing heavily in digital programmes and IT projects in the area.’

Neighbouring city, Manchester, maintained its position as the top hiring city outside of London, with 2,323 roles advertised. This is despite a 13% decrease in the number of roles advertised in the city over the period.

Average permanent salaries saw a slight dip in the second quarter of 2015, with IT security roles taking the biggest hit (a 4% decrease to &pound53,733 per annum). Interestingly, when it comes to permanent salaries, it is the two Scottish cities that make up the top three –  Edinburgh (&pound43,615) and Glasgow (&pound42,318) – with London (&pound53,107) taking first place. The average contractor day rates across the 10 tech cities saw a marginal increase of 1% compared to the previous quarter, now at &pound395 per day.

Smith concludes, “London continues to pave the way for UK technology growth and is still responsible for 70% of technology jobs in the country, confirming that the appetite for tech talent in the Capital remains strong. Industry reports such as The Lloyds Bank Business Confidence Barometer also suggest that business confidence has risen since the election, potentially triggered by factors such as banks now more willing to support the small business sector - a critical part of the UK’s technology success story.”

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