Legal Job Market Report – September 2025
Here is our summary of the current state of the UK legal job market. From Ten Percent Legal Recruitment, Interim Lawyers Locum Legal Recruitment and Jonathan Fagan Business Brokers.
Locum Recruitment – Steady
Our locum department feels like it has emptied out in the last week or so; although there remains a significant amount of activity, we are much quieter than we were last month. One trend that is yet to show signs of slowing is the ever increasing hourly rate for certain types of locum. Conveyancing locums seem to have been able to attract rates not seen before this summer and there are no signs yet of any significant drop.
Locum assignment updates here.
Permanent Recruitment – Quiet
Permanent roles are generally a bit muted, although there is still activity from both candidates and firms. There remains a huge gap between actual interest in roles from candidates and vacancies being posted. August was surprisingly busy for new permanent roles being posted with us, with the majority of these being for property linked positions. We think some of this was the eye-watering cost of using conveyancing locums this year, which has focused the minds of some law firm partners on permanent recruitment.
Law Firms for Sale – Quiet
The law firm market is getting busy and it remains a good time to list. Enquiry levels will remain high until the start of December, so any new listings will attract interest. As we rapidly approach the traditional renewal period for PII insurance at the end of September we have started to see an increase in the number of buyers looking for small law firms for a quick sale. A number of deals have gone through recently.
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 August 2025 (2024 figures in brackets)
- New locum roles added – 19 (28)
- New permanent roles added – 24 (11)
- New candidates added – 43 (66)
- New firms listed for sale: 3
- Firms for sale: 43
- Deals going through (heads of terms signed): 17
Commentary:
Locum roles have declined, but permanent jobs have increased by over 100%. Although the numbers are small, they do point to firms wanting to try to recruit permanently this year. With the cost of locums increased this year, particularly for residential & commercial conveyancing, it may be that firms are simply trying to get round the increased cost of locums by attempting to recruit on a permanent basis. Candidate numbers are down significantly, but we have no clear indication at this stage as to why this is.
KPMG & REC Report on Jobs UK
This is a monthly report prepared by KPMG following a questionnaire sent to over 400 UK recruitment consultancies, including ourselves.
- Permanent and temporary labour availability rises rapidly
- Recruitment activity falls at softer, but still marked rate
- Starting salaries increase at softest pace for four-and-a-half years
Commentary from Jon Holt, CEO of KPMG UK
“The business trading environment remains complex and it is still a mixed picture when it comes to reported business confidence. This complexity, coupled with a subdued economic outlook, means chief execs continue to pause their future spending plans, including hiring. Given the speculation around upcoming Budget measures, it’s unlikely we’ll see a significant shift in recruitment patterns in the near term as businesses evaluate their investment strategies in response to policy commitments and the rapid pace of change brought by AI and new technologies.”
Commentary from Neil Carberry REC CEO
“Employers need a shot of confidence along with their seasonal flu jabs this autumn. August saw recent declines in the market moderating, and a few positive signs. Overall, permanent placements are declining at their slowest rate since May, and the reduction in temporary billings also eased. There is certainly potential out there – but with fewer vacancies and more candidates looking for work, the overall picture is still subdued. While we have seen a summer slowdown, we will hopefully see more positive signs when the September data come through next month. All eyes are now on the Autumn Budget, in hope now that the Chancellor won’t do any further damage to the labour market with costs on hiring.”
