UK Recruitment in Q4 2025: A Market Finding Its New Balance

As 2025 winds down, let’s reflect on the UK job market and how it continues to evolve. This year it has been shaped by new working patterns, shifting candidates' expectations, and technology’s deeper role in the hiring process.  

Hybrid work, skilled-based hiring and AI driven recruitment has set the rhythm of 2025 hiring practices and is shifting the employment landscape as we move into 2026.  

In this blog, we are exploring these three trends defining recruitment in the UK as we dive into Q4 2025 with gathered insights from Indeed, the Office for National Statistics (ONS) and more.  

1. Hybrid and Remote Work Continue to Evolve (With Adjustments)  

   
   

Hybrid work is no longer optional or a “nice to have”, it’s fully expected. However, the frequency of work from home days have significantly varied from 2022 – 2025.  

According to data from Indeed, two days per week in office is the most popular hybrid work model on UK job listings in 2025.  

Completely remote roles on the other hand have completely plateaued. According to the Office for National Statistics (ONS) 14% of the UK workforce have been working exclusively from home in 2025.  

2. Value for Skills Over Only Formal Qualifications 

In some, sectors including the technology sector, focus is being emphasised on skills, portfolios, and demonstrable practical experience over a traditional degree.  

According to The State of Skills-Based Hiring 2025 report by TestGorilla, 53% of employers surveyed eliminated a degree as a job requirement, with 76% of employers using skills tests to hire, believing they are better at predicting job success than reviewing a CV.  

So, what’s moving employers toward skills-based hiring?  

Further using the technology sector as an example, in the UK there has been a massive skills shortage. By tapping into skills-based hiring, employers can now seek out professionals based on their experience and skills, rather than a traditional degree.  

There has also been a shift in the employment environment, where applicants who can demonstrate their skills are preferred over those with academic qualifications.  

3. AI, Automation and Data-Driven Hiring  

Recruitment technology has become a necessity in 2025, with companies not only using AI to sift CVs, but for enhancing the entire hiring process. AI tools can now anonymise CVs, ensuring candidates are assessed only on their qualifications.  

While AI streamlines processes, maintaining a human element in the recruitment process remains vital for building trust and ensuring a positive candidate experience.  

Now, recruiters must learn how to interpret and use this data effectively, balancing human judgement with AI insights.  

4. Candidate Expectations and Employer Branding Take Center Stage 

In last quarter of 2025, the balance of power between employer and candidate is continuing to shift. Job seekers have become more discerning, with flexibility, transparency, and culture ranking high on their list of priorities. 

Flexibility has become non-negotiable for most candidates, and companies that stay too rigid risk losing out. 

Conclusion 

As 2025 winds down, it is evident that the UK recruitment landscape has shifted from where it was when the year started. Hybrid work is standard but evolving, skill is the new candidate currency, AI and analytics are transforming how employers connect with talented candidates and candidates overall are more empowered than ever before.  

These points are all indicators of what we can expect in 2026.   

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Looking to find your next hire in the IT and Engineering industry? Our experienced recruitment team at Verelogic can help you source top talent.  

Reach out at recruitment@verelogic.co.uk today.