The wider jobs picture has been soft, and that gives useful context for banking. Vacancy estimates decreased by 7,000 (0.9%) to 712,000 in April to June 2026 compared with the previous quarter, according to the ONS Vacancies and jobs in the UK bulletin. More recent figures show early estimates for May to July 2026 pointing to a further decrease of 6,000 (0.8%) to 707,000, per the ONS August 2026 release.
Pull back a year and the fall is sharper: total estimated vacancies were down by 76,000 (9.5%) in December 2025 to February 2026 from a year earlier, decreasing in 15 of the 18 industry sectors, as reported by the ONS March 2026 bulletin. The labour market has been described as 'low hire, low fire', with weaker recruitment but only slight increases in redundancies, and vacancies below pre-pandemic levels, in the Low Pay Commission Report 2025.
There are signs the floor has been reached. Permanent placements have finally stabilised, ending a decline in place since Liz Truss's premiership 45 months ago, while temporary billings increased for a fourth consecutive month, according to the REC and KPMG Report on Jobs. For banking employers planning 2026 headcount, a stabilising base is the moment to move early rather than wait for the crowd.
The demand is skewing towards higher-skilled, regulated work. In the financial-services sector, recruitment was generally for Regulatory Qualification Framework (RQF) 6+ roles, rather than RQF 3 to 5, according to the GOV.UK Temporary Shortage List Stage 2 report. In plain terms, RQF 6+ maps to degree-level and above, so firms are hiring for depth: risk, compliance, regulatory reporting, controls and specialist advisory roles.
That matters for how you plan. When the roles you need are senior and regulated, the pool is smaller and the competition for the right person is keener. The latest market reading is captured in the KPMG and REC UK Report on Jobs for June 2026, which tracks placement and billings momentum month by month. The takeaway is simple: define the exact skills early, and don't assume a broad search will surface the few people who fit.
Start with precision. For RQF 6+ roles, write the brief around the specific qualifications, regulatory exposure and track record you need, not a generic title. The clearer the brief, the faster you separate the right few from the many.
Speed and precision aren't opposites. The firms that win in 2026 pair a tight brief with a fast, respectful process, so the right person says yes before anyone else reaches them.
We built our AI recruitment agent to do the heavy lifting on exactly this kind of hire. We search 15 million candidates to surface the people who match your regulated, higher-skilled roles, rank a shortlist in under 30 seconds, and help you book interviews, so you move at pace while the market is still finding its feet. Our recruitment agent manages recruitment end to end for 8% on a successful hire, with no monthly fee and no upfront cost. If you're planning banking headcount for 2026, start a search with Reed.ai today.
