UK business conditions mixed as vacancies rise, oil tops $104, and insolvencies persist
Recruitment in the UK private sector showed its first expansion in over two years, with permanent roles also increasing for a second consecutive month. Construction activity reached 46.1, still indicating contraction, while Brent crude traded above $104 and housing demand weakened amid higher mortgage costs. Insolvency filings included five administrations, 63 liquidations, and three winding-up petitions.
UK private-sector vacancies expanded for the first time in over two years, with permanent placements up again. Construction PMI rose to 46.1 from 44.3, an eight-month high, but remained below 50; new orders stayed weak and employers cut staff amid inflation.
Brent crude above $104 heightened inflation and borrowing-cost concerns, while housing demand, sales and prices weakened as mortgage costs rose. Insolvency notices included five administrations, 63 liquidations and three winding-up petitions. Businesses reduced PR and consultancy outlays even as total spending rose 3.1% year on year; roughly one in seven purchased AI tools.
If hiring recovery continues, jobseekers in accountancy, engineering, AI and law may see more openings, though retail, hospitality and admin remain weak. Higher oil and mortgage costs could squeeze household budgets and small firms' cash flow, potentially slowing payments and raising insolvency risk. Reduced consultancy and PR spending may hurt those suppliers, while AI investment could reshape roles