When unemployment rises, you might assume attracting candidates gets easier. But the current UK hiring market tells a more complex story. According to the latest ONS data, unemployment rose to 4.7% between March and May 2025 - the highest in four years - yet vacancies are climbing too. In fact, vacancy growth is now the strongest since mid-2022 with 4 consecutive months of rises, particularly in sectors like professional services, finance, and admin support.
So how do you make sense of this mismatch? And more importantly, how do you attract the best candidates when the numbers don’t follow the old rules?
Understanding the changing candidate mindset
The rising unemployment rate doesn’t mean a flood of skilled, motivated professionals are ready to jump into your open role. In reality, candidate behaviour has shifted. Many are understandably cautious. They’re reluctant to leave secure positions or re-enter the workforce unless the opportunity feels genuinely worthwhile.
That means it’s not about volume; it’s about value. You’ll need to offer more than a decent salary. Hybrid working options, clear development pathways, and a healthy work culture are becoming non-negotiables for the best candidates, especially in office-based roles across London.
Speed and clarity win the race
You might assume that a higher unemployment rate means more time to make decisions. But in a market with rising vacancies, your competitors are still hiring, and doing it fast. Delays in interview scheduling or unclear decision-making processes can cost you top talent.
Make your recruitment process seamless. Shorten timelines. Communicate clearly. And make sure your internal team is aligned on what you’re looking for so there are no last-minute changes in criteria.
Broaden your search strategically
It’s also worth reassessing where and how you’re looking. While some sectors report candidate shortages, others are experiencing redundancy waves. For example, marketing professionals from downsized teams may be open to temporary or contract work in your business, even if you're outside their original sector.
Partnering with a recruitment agency that understands the London market allows you to tap into hidden talent pools, including those open to pivoting their careers.
Employer brand matters more than ever
With cautious candidates and more choice on their side, how you present your organisation makes a real difference. Your brand - especially as seen through review sites, social media, and your hiring process - can either attract or deter high-calibre individuals.
Focus on authenticity. If flexibility, wellbeing, or career progression are strengths of your business, showcase them honestly and consistently. Make sure every candidate touchpoint reflects the experience they can expect if they join your team.
Use temporary talent to stay agile
With economic uncertainty in the background, using temporary professionals gives you the flexibility to fill urgent needs while keeping longer-term options open. You can assess candidates in-role and scale your team as demand shifts.
Temping is also increasingly appealing to candidates who want to try new environments without long-term commitment. It can be a win-win, as long as you move quickly and offer real value.
Partner with experts who know the landscape
This isn’t a market you can navigate on autopilot. You need a recruitment partner who understands the nuances behind the data and has real-time access to talent that’s actively looking and open to moving. Our team specialises in sourcing high-quality candidates for office-based roles in London, whether you need someone temporary, contract, or permanent. Get in touch on 020 7870 7177.