The UK recruitment market continues to shift, shaped by economic uncertainty, rising employment costs, changing candidate expectations and the growing influence of automation.

While some organisations remain cautious about committing to permanent headcount, demand for technically strong, commercially aware finance professionals remains resilient.

In this market, the question is no longer simply “Can we hire?” but “What value will this hire create?”

This is reflected in wider market data too. The latest KPMG and REC UK Report on Jobs June 2026 highlights continued pressure on permanent hiring, with permanent placements falling at the quickest rate in ten months, while employers increasingly lean on temporary and flexible staffing solutions.

At Howett Thorpe, we are seeing a selective, strategic and value-led market. Employers are no longer simply filling vacancies. They are assessing the precise impact each hire can make, both now and in the future.

A More Cautious, Strategic Hiring Market

Across the SME sector in particular, cost pressures and leaner teams mean hiring decisions are taking longer. Roles are being reviewed more carefully before going to market, and some employers are testing vacancies directly before engaging recruitment partners.

However, caution must be balanced with pace. Strong candidates are rarely available for long, and slow processes can quickly lead to missed opportunities.

The businesses securing the best people are those hiring with clarity, urgency and purpose.

Demand for Hybrid Finance Talent

Demand remains strong for part-qualified and fully qualified professionals, particularly Management Accountants, Financial Accountants and Finance Business Partners.

Employers are looking for individuals who combine technical expertise with commercial awareness, leadership capability and the confidence to support change.

Today’s finance professionals are expected to manage reporting, compliance and controls, while also contributing to systems implementations, automation, process improvement and strategic decision-making.

The role of finance continues to move beyond reporting the numbers. Businesses need people who can interpret, challenge and influence.

Transactional Finance Is Evolving

The transactional finance market has softened slightly, but it remains active.

We are seeing a shift away from narrow, siloed roles towards broader finance support positions. Multi-skilled Accounts Assistants and transactional professionals who can work across different areas are in demand.

Automation is reducing repetitive manual tasks, but it is not removing the need for talented people. Employers still need professionals who can manage exceptions, ensure accuracy, improve processes and adapt to new systems.

Temporary and Interim Hiring Is Now a Core Strategy

Temporary and interim recruitment has become a key workforce tool, rather than a short-term fix.

According to the KPMG and REC UK Report on Jobs June 2026, temporary billings increased at their fastest rate in over three years, while permanent placements continued to fall. This supports what we are seeing locally: employers still need talent, but many are choosing more flexible ways to access it.

Employers are using interim professionals to retain flexibility, manage workload peaks, cover critical gaps and control long-term overheads.

Temporary-to-permanent hiring is also increasing, allowing businesses to assess capability and cultural fit before making a permanent commitment.

At the same time, more candidates who would previously only have considered permanent roles are now open to interim opportunities, strengthening the temporary talent pool.

Practice Accounting Is Changing

The practice market is also evolving, with consolidation across the sector and PE-backed firms reshaping the traditional model through acquisition and expansion.

Many practices are seeing increased demand for outsourced services, including management accounts and payroll. At the same time, automation is streamlining routine tasks and creating more opportunity for advisory-led client work.

This shift is influencing entry-level hiring, with some firms moving away from traditional Trainee Accountant roles towards more advisory-focused positions.

Changes to apprenticeship schemes are creating concern around the future pipeline of newly qualified professionals, making trainee attraction and retention even more important.

Personal Tax and Audit professionals remain in high demand, with strong candidates often attracting competitive packages and multiple offers.

What This Means for Employers

Successful hiring in this market requires focus and realism.

Employers should define the role clearly from the outset. Is it business-as-usual, transformation-focused, or a blend of both?

Interview processes also need to be efficient. Delays, vague feedback or unclear expectations can quickly damage candidate confidence.

The perfect candidate may not exist. Businesses that identify the true day-one essentials and remain open to developing the right person will have the strongest chance of securing talent.

What This Means for Candidates

For candidates, preparation and adaptability are key.

CVs should focus on impact, not just responsibilities. Employers want to see measurable achievements, such as systems implemented, processes improved, costs saved or reporting enhanced.

Flexibility also matters. While hybrid working remains important, many candidates are increasingly prioritising stability, culture fit and long-term development.

Being open to temporary, contract or interim roles can also create valuable routes into new sectors, stronger organisations and future permanent opportunities.

Looking Ahead

The 2026 recruitment landscape is defined by caution, change and opportunity.

Recent REC JobsOutlook data shows that, despite weaker employer confidence, hiring intentions remain positive across both permanent and temporary recruitment. That reinforces the reality of the current market: businesses are cautious, but they are not standing still.

Finance teams are becoming more commercial, practice firms are evolving, and automation is reshaping roles. But the need for strong, adaptable people remains as important as ever.

At Howett Thorpe, we continue to support businesses and finance professionals with honest advice, specialist insight and local market expertise.

Whether you are planning your next strategic hire or considering your next career move, our team can help you understand the market, move with confidence and make informed decisions.

 

Howett Thorpe are specialists in financial and accounting recruitment. We work with organisations and candidates to facilitate the best match of skills and development. Contact us at 01252 718777 or email farnham@howett-thorpe.co.uk.