Midlands is ‘standout region for hiring activity’ as permanent job placements rise - survey

The Midlands was the only English region to experience increases in permanent and temporary job placements during December, new data reveals.

The latest KPMG and REC, UK Report on Jobs: Midlands survey, compiled by S&P Global, says the Midlands was the standout area for hiring activity in the closing month of 2025 - with all other regions recording contractions.

The renewed increase in permanent placements was modest but the most pronounced in over two years.

Meanwhile, the fifth consecutive monthly increase in temp billings was rapid and the most marked since April 2022.

Consequently, the supply of short-term workers expanded at the slowest rate in 10 months, highlighting that more candidates were successfully placed into contract roles. Hourly wages increased sharply in December, rebounding from a slight decline in the previous month.

The KPMG and REC, UK Report on Jobs: Midlands is compiled by S&P Global from responses to questionnaires sent to around 100 recruitment and employment consultancies in the Midlands.

Recruiters based in the Midlands recorded a fresh rise in permanent placements during December, thereby marking the first month of growth in seven months.

The pace of increase was modest but the fastest in over two years.

Where staff appointments rose, panel recruiters linked this to higher demand.

Moreover, of the four monitored English regions, the Midlands was the only area to record a rise in the number of staff placed into permanent roles.

All the remaining areas recorded deeper downturns compared to the previous month, with the North of England registering the most pronounced reduction.

The latest data signalled a fifth consecutive monthly rise in temporary billings across the Midlands in December.

The pace of expansion was rapid and the fastest in 44 months, with the respective seasonally adjusted index rising further from its recent low last July. Increased demand for temp workers was attributed to the latest uptick.

In contrast, all the remaining tracked English regions recorded sharp decreases in temp billings in December.

The downturn in permanent vacancies deepened across the Midlands in December. The pace of decline was sharp and the fastest in three months. That said, the Midlands recorded the least marked reduction in permanent vacancies of the four monitored English regions.

Meanwhile, temp vacancies rose for a fifth straight month across the Midlands in December. The upturn was solid and the most marked since mid-2025. Moreover, the Midlands bucked the broader trend by being the only tracked region to post growth.

Kate Holt (pictured), people consulting Partner at KPMG in the Midlands said: “The Midlands closed 2025 on a positive note, delivering the only growth in permanent placements of all monitored English regions, as well as the strongest rise in temporary billings in nearly four years.

“The region stood alone in recording hiring growth while all other areas contracted, making it the standout performer in December.

“What's particularly encouraging is that this reflects genuine business confidence rather than just cautious hiring.

“Temporary hourly pay rose sharply - the fastest increase across any region - while permanent placements returned to growth after six months of decline.

“Midlands employers are clearly pursuing growth, investing in both permanent teams and flexible capacity.

“This combination of confidence and strategic workforce planning suggests the region is well-positioned to lead heading into 2026.”