The latest UK labour market report reveals a stark reality for job seekers in 2025. According to Aspen Tech Labs, the number of open roles has dropped to its lowest point since early 2020, while unemployment has risen to a four-year high. For women in tech, these figures signal increased competition for fewer opportunities, with long-term implications for diversity and inclusion in the sector.
This article breaks down what the data means, where the challenges lie, and how women in tech can respond to a more competitive and uncertain job market.
UK job vacancies decline across all employer types
At the end of Q2 2025, the UK recorded just 736,000 job vacancies. This marks a 7.9% fall compared to the previous quarter and a significant 16.9% year-on-year decline. These are the lowest vacancy figures seen since early 2020, before the pandemic disrupted global hiring.
The fall in vacancies has affected companies of all sizes. The most severe cutbacks came from small employers with fewer than ten staff, where vacancies dropped by over 21%. Even the largest firms, employing over 2,500 people, reduced job postings by nearly 5% during the quarter.
Only three industries saw an increase in vacancies during this period: wholesale, motor trades and water supply and waste services. The construction industry experienced the largest fall, down 20.6% from the previous quarter. In contrast, healthcare continues to offer the most job openings, maintaining its position as the top hiring sector.
Unemployment reaches highest level since 2021
Unemployment figures also rose sharply in Q2. The UK recorded 1.64 million people without work, the highest figure since 2021. Of these:
- 995,000 people were unemployed for up to six months
- 266,000 for six to twelve months
- 379,000 for over a year
Long-term unemployment is becoming more entrenched. Over 23% of those without work have been unemployed for more than 12 months. This can have lasting effects on individuals’ confidence, career progression and financial stability, particularly in fast-moving industries like technology.
What the UK job market crisis means for women
Women accounted for 770,000 of the unemployed in Q2 2025, with an overall unemployment rate of 4.5%. Nearly 1 in 5 unemployed women have been out of work for over a year, a figure that highlights the growing risks of long-term unemployment.
For women in tech, these figures carry added weight. Research consistently shows that women in technical roles face greater barriers to career progression and are disproportionately affected by economic downturns.
When job openings shrink:
Competition intensifies for roles where women are already underrepresented, such as software engineering, cybersecurity and data science.
Career breaks due to maternity leave or caregiving responsibilities make re-entry even harder in a contracting market.
Pay disparities can widen if women feel pressured to accept lower salaries due to fewer available options.
This highlights the importance of seeking out employers who are transparent about pay and committed to diversity and inclusion. As job postings including salary information rise to 47.5%, candidates have more leverage to negotiate fair compensation and make informed career decisions.
Who is still hiring?
Despite overall declines, some parts of the labour market remain active.
FTSE 100 companies
Large, multinational employers continue to recruit. Companies such as Intercontinental Hotels (3,256 vacancies), HSBC (2,025) and WPP (2,165) reported thousands of open roles at the end of Q2. These firms tend to have broader global operations and more resilient hiring pipelines, which can cushion them against domestic downturns.
Increase in salary transparency
A growing number of job listings now include advertised pay. As of June 2025, 47.5% of postings included salary data, up from 44.1% a year earlier. This shift benefits job seekers, allowing them to better assess the value of roles and negotiate more effectively.
- Average UK salary (full-time): £35,360
- Average salary in London: £42,640, the highest in the UK
- Coventry and Birmingham followed, each with average salaries around £39,000
Salary transparency is particularly important for women in tech, helping to reduce the gender pay gap and promote fairer recruitment practices.
Tech-adjacent roles remain in demand
Roles such as Risk Manager continue to offer strong prospects, especially in financial and data-focused sectors. Salaries for these roles range from £60,000 to over £100,000, with most opportunities concentrated in Greater London. These positions can provide a valuable career path for those with skills in governance, cybersecurity or data analysis.
Other high-demand areas include:
- Cybersecurity
- Product management
- Data engineering
- Cloud infrastructure
- Software development for health and education sectors
How women in tech can navigate the market downturn
While the wider market presents challenges, there are practical steps women in tech can take to stay competitive.
1. Upskill in strategic areas
Focus on learning technologies that are in high demand, such as cloud computing, AI and data analytics. Consider certifications in areas like AWS, Google Cloud or Python. Many platforms offer flexible or low-cost options for career development.
2. Target employers who prioritise transparency and flexibility
Look for companies that advertise salaries, provide clear job descriptions and promote inclusive hiring practices. Firms offering hybrid or flexible work options are often more accommodating to candidates with non-linear career paths.
3. Use professional networks
Communities can offer more than just job listings. They provide mentoring, career advice, webinars and connections with supportive employers. Joining a network can help you stay visible, connected and informed.
The future of the UK job market
The Q2 2025 figures highlight the fragility of the current job market, especially for women navigating an already unequal tech landscape. However, they also underscore the importance of transparency, adaptability and support networks.
At Women in Tech, we remain committed to helping women build sustainable careers, even in a challenging economic environment. We’ll continue to share resources, job insights and real stories from women across the industry to ensure no one feels left behind.
Explore current opportunities on our job board or visit our guides section for more support and advice on growing your tech career.
