Even though digital skills are critical for the modern workplace, data from the Recruitment and Employment Confederation (REC) found that job postings for tech-specific roles declined between 2023 and 2024.
Web development professionals, programmers, and IT Support technicians have seen the most significant decreases. This is a distinct 180-degree turnaround from the activity we witnessed during and following the COVID-19 pandemic, a time when these roles were in particularly high demand.
As organisations undertake IT transformation and invest in digital-centric workplaces, the REC is confident that these roles and many others will enjoy a resurgence and bounce back.
The highs and lows.
The job market ebbs and flows. We see waves of abundance moving through to scarcity. Within the IT sector, though, these periods of highs and lows appear to be stabilising.
The data from the REC research reveals that the demand for IT staff declined again in March. However, it did so at a slower pace. The rate of contraction was the joint slowest rate since October 2023.
This trend of stability was true across both the permanent and temporary markets. The sector still has challenges to overcome, but these numbers do suggest a move toward balance.
Soft skills.
Within IT job postings, acronyms and tech skills tend to dominate. However, REC commentary urges employers not to neglect soft skills. In this age of digital transformation, soft skills are critical in securing the success of projects.
Communication, people management, mentorship, collaboration and cross-functional working are skills that are essential in the modern workplace. Explaining technical concepts to non-technical people, taking organisational requirements and building technical solutions are the essence of digital transformation projects. People with these skills will ensure the success of organisations in 2025 and beyond.
Rising salaries.
In a bid to secure talent, starting salaries across all sectors have been steadily rising for some time. Within the IT sector, salaries have increased 9.4% since April 2024. Today, the median advertised salary across IT roles is £44,500.
Unsurprisingly, London is at the centre of IT hiring. Looking further afield, we can see other cities emerging as vibrant tech hubs. Manchester, Bristol, and Birmingham are rising stars – each offering a wealth of opportunity for tech startups and job seekers alike.
The IT talent pool.
The REC data suggest that the future of IT jobs lies in Agile Methodology, cybersecurity, AI, and data analysis. Python and Azure are two areas in particular that are in demand and highlighted as specialised skills in job postings.
As part of the research, the REC compared the skills required within job postings with workforce profiles. This analysis has highlighted a mismatch between the demand and supply.
It was found that SQL proficiency was balanced; an even distribution between jobs that require it and those that have it. In contrast, there was a significant shortage of cloud experience, especially with Microsoft Azure.
Once, IT roles were the sole domain of the tech and IT industry. The REC study has shown that IT jobs are now indispensable across broad cross-sections of industry. Diverse sectors such as Financial Services, healthcare, and education are now fighting for top UK IT talent.
In sum.
Whether you are an employer or a job seeker in 2025, those who can adapt quickly and strategically to market shifts will thrive.
For employers, speed and adaptability will be critical for success. Investment in skills and training programs that prioritise tech upskilling will ensure that gaps are not left in an organisation where new talent cannot be found or funded.
Job seekers may look to upskill in high-demand areas. Cloud computing, data proficiency, AI and cybersecurity awareness are all areas that are set to dominate the job boards as we move toward the second half of the year.
Are you planning on hiring new tech or IT professionals this year? We can help.
Reach out to us today and see how Ignite Digital works to secure your tech talent.