Legal Job Market Report – August 2025 – from Ten Percent Legal Recruitment, Interim Lawyers and Jonathan Fagan Business Brokers.
Here is our summary of the current state of the UK legal job market.
Locum Recruitment – Busy
Our locum department remains busy at present as we are still in the busy season. Busy area as ever for holiday cover is conveyancing, but at the moment we are seeing quite a mix of work; family, commercial litigation, corporate/commercial, employment, property litigation roles have been posted in the last week or two. June to September is always the busiest time of year for locum recruitment and this year is no different.
Locum assignment updates here.
Permanent Recruitment – Quiet
Permanent roles are generally still a bit muted, although there is still activity from both candidates and firms. We cannot tell yet whether there is increased nervousness amongst candidates looking at new roles in the current market, but this may well become a factor with the ongoing world events. However we are still having conversations with law firm owners who question their chances of success in finding new permanent staff and whether it is even worth bothering to try at present.
Permanent vacancies can be viewed here: https://www.ten-percent.co.uk/vacancies/
Law Firms for Sale – Quiet
If you are considering retiring or selling a law firm now is a good time to start thinking about it because the market is often quite quiet from now until the start of September when it tends to get very busy. We usually see an increase in the number of new firms coming to the market in August – mainly because owners find themselves with a bit of thinking time about the future (its amazing what a week sat in a deckchair can do!).
Full details of firms currently for sale on our website – list updated daily. For valuations, exit planning or a confidential discussion about a potential sale or acquisition generally please call 0800 246 5016 or email jf@jonathanfagan.co.uk. You can also download our free detailed guides on Buying a Law Firm and Selling a Law Firm.
Ten Percent Group statistics for July 2025 (2024 figures in brackets)
- New locum roles added – 29 (25)
- New permanent roles added – 16 (29)
- New candidates added – 73 (48)
Commentary: Locum roles have remained steady, but permanent jobs have declined by just under 50%. This can be for a host of reasons, but we think this is in part due to thinking by some firms that there is no point looking due to lack of good/affordable candidates, and not bothering to recruit. Candidates registering is still on the increase, with a large number of solicitors looking at locum work (quite often using locum assignments to top up consultancy fees from one of the many platforms).
KPMG & REC Report on Jobs UK – 11th August 2025
This is a monthly report prepared by KPMG following a questionnaire sent to over 400 UK recruitment consultancies, including ourselves.
- Starting salary inflation slips to lowest in nearly four-and-a-half years
- Permanent placements and temp billings continue to decline
- Rapid upturn in candidate supply amid reports of redundancies
Commentary from Jon Holt, CEO of KPMG UK
“The labour market cooled in July as chief execs held back from increasing their recruitment budgets. Economic uncertainty, the complexities of AI adoption and global headwinds are all weighing on business planning. A larger talent pool has helped temper wage inflation, which helped convince the Bank of England to cut interest rates. While UK plc remains resilient, a further loosening of monetary policy could help boost business confidence. But many firms will continue to pause major investment decisions until there is greater clarity in the Autumn.”
Commentary from Kate Shoesmith REC Deputy CEO
“..with starting salaries and temp pay rising only modestly, it was right to cut interest rates last week. More action like this, to stabilise the business cost-base, is what will support growth and boost the jobs market this year. Fluctuations in permanent and temporary job placements signal a labour market that remains resilient but uneven. Construction, a key economic bellwether, has seen a rise in temp vacancies, an early sign of confidence returning. Demand for blue-collar temp roles and permanent engineering jobs also remains steady, offering another glimmer of optimism. At the same time, hiring in retail and hospitality are down. Employers in these sectors are pausing due to cost pressures and uncertainty around employment law, although when the turn comes, these industries typically rebound quickly.”
