The CIPD’s Summer 2026 Labour Market Outlook report reveals that UK employer confidence remains close to record lows outside of the pandemic and has shown no signs of recovery since spring 2025.
It finds that only 57% of employers in the private sector plan to recruit over the next three months, with most focusing on maintaining existing staffing levels rather than increasing headcount. Meanwhile, reforms to zero-hours and low-hours contracts under the Employment Rights Act 2025 are proving contentious, with almost half (45%) of employers believing the changes will be difficult to implement and two-thirds anticipating an increase in both HR and management time and cost.
