The UK's digital and technology sector is large and busy. The latest government definition counts 107,082 digital and technology companies, around 5.2% of all UK companies GOV.UK – Digital and Technologies Sector Economic Statistics. That's a big base of employers, and many of them are competing for the same specialist people.
The wider picture is cautious, though. Vacancy estimates fell by 7,000 in the second quarter of 2026, with professional, scientific and technical activities among the sectors seeing the largest drops ONS - Vacancies and jobs in the UK. Businesses took a careful approach to hiring across 2025 against a subdued economic backdrop, yet clear demand hotspots remained for specialist skills in AI, data, enterprise applications and cyber security Computer Weekly (tech recruitment outlook 2026).
So the market is two-speed. Generalist and entry-level hiring has cooled: Adzuna data shows a 30% drop in UK entry-level job postings since ChatGPT launched, and graduates face the toughest market since 2018 techUK – What's actually happening with entry-level and graduate jobs?. But for the right specialist skills, employers are still hiring hard.
Digital identity systems need people who can design secure architecture, model data, protect against threats and build AI-driven checks. That maps directly onto the skills already in short supply. IT business analysts, architects and systems designers, around 193,000 workers, sit among the occupations in critical demand, with three of five indicators flagged as critical in 2025 Occupations in demand 2025, Explore Education Statistics, GOV.UK.
AI skills are the sharpest growth area. Demand for AI skills rose nearly 200% in a year, with London accounting for 80% of AI-related job postings and nearly two-thirds of all UK technology vacancies The Register (Accenture data). Security matters too: a comparison with the Cyber Security Skills 2024 report found 70% of cyber firms reported at least one hard-to-fill vacancy AI Labour Market Survey 2025 (Gardiner & Theobald), GOV.UK / publishing.service.gov.uk.
How people enter these roles is changing as well. Apprenticeships have risen from 3% of AI hires in 2020 to 19% in 2025 GOV.UK / DSIT – AI Labour Market Survey 2025 report, a sign employers are building talent, not just buying it. And the professional, scientific and technical sector has form for growth: in August to October 2025 it saw the largest volume increase in vacancies, up by 5,000 ONS – Vacancies and jobs in the UK: November 2025.
Start by being specific. Broad job posts pull in volume; specialist digital identity work needs a tight brief on the exact skills, whether that's identity architecture, data modelling, threat detection or applied AI. Precision saves time on both sides.
Expect to compete. Some 76% of engineering employers struggle to recruit for key roles, with technical and specialist skills topping the list Institution of Engineering and Technology (IET). When skills are scarce, a slow or vague process loses good people to faster movers.
Building talent pays off too. With apprenticeships now nearly a fifth of AI hires, growing your own people is a realistic route into hard-to-fill roles, not a fallback.
When you're hiring for scarce, specialist skills, reach and speed both matter. We search a database of 15 million candidates to surface people who match your brief, then rank a shortlist so you can act fast. Our recruitment agent manages recruitment end to end for 8% on a successful hire, with no monthly fee and no upfront cost. That keeps the focus where it belongs, on finding the right person and managing your recruitment end to end. Ready to hire for your next digital identity role? Start with Reed.ai today.
