Job openings in the UK have taken a sharp turn. While the total number of vacancies has declined by about 10% since January 2025, positions in software development have surged 14%, highlighting a clear divide in the labor market.
According to Jack Kennedy, economist at Indeed, this trend reveals a "two-speed" market, where demand concentrates heavily on senior professionals with AI-related expertise. Roles in retail, manufacturing, and many white-collar sectors are shrinking, but opportunities connected to artificial intelligence continue to grow.
AI Skills Create Uneven Job Landscape
In December 2024, overall UK job postings remained 12% below pre-pandemic figures. However, job listings referencing generative AI have started gaining traction, albeit from a small base. Around 0.2% of all UK vacancies mention GenAI, but that share climbs significantly in specialized fields like mathematics (5.5%), scientific research (2.7%), and software development (2.4%).
The rising need for experienced AI talent paints a tough picture for entry-level candidates. Businesses appear focused on hiring those who can immediately apply AI tools, rather than investing in training newcomers. This dynamic could create bottlenecks in the talent pipeline, especially for juniors hoping to break into tech roles.
