Demand for both for permanent and temporary staff in the North of England increased in December by more than UK average, according to a new report.
KPMG’s Report on Jobs: North also showed the strongest rate of salary inflation since November 2007 among those in permanent positions and the fastest rate since March 2008 for those in temporary roles.
On the downside, the report, designed to provide a comprehensive guide to labour market trends, suggests a drop in availability of appropriate candidates to fill vacancies.
Mick Thompson, office senior partner at KPMG in Newcastle, said: “The New Year has brought with it fresh confidence amongst the regional business community, evidenced by continued strong growth in both permanent and temporary staff placements.
“With demand for workers across the North outpacing the UK average, it’s clear that the recovery is now starting to gain some momentum.
“Nevertheless, confidence will remain delicate until exports show stronger growth, so employers and individuals alike will be keeping an eye on interest rates and the impact any changes have on the pound in their pocket before deciding whether a new job is the way to go.
“Uncertainty also remains because the availability of staff to fill roles has seen a steep fall. There is a risk that should this trend continue, employers who are desperate to fill a gap could become stretched beyond their means.”