At a young age, students are urged to go to university to gain a degree in a subject that they wish to pursue in the future, as it will give them the right skill set and real-world experiences to get a good job in the industry they choose, but nowadays, it doesn’t work as easily as that.
Across the UK, graduates are finding it harder to get jobs that use their qualifications, and so many are pushed into jobs that have nothing to do with the years of hard work spent on their qualification, such as hospitality and retail.
So how can students break into the industry jobs and careers they have been dreaming of for the past few years?
Employment rate
UK youth unemployment (16-24 year olds) has hit the highest rate in 11 years at the end of 2025, and has now risen to 16.5%.
When the Labour Party came into office, youth unemployment stood at 14.2%. So, in a year and a half, the unemployment levels have risen by 2.3%
More out-of-work people are actively looking for jobs, while the numbers, as said before, are at a post-pandemic high, and more than 700,00 Graduates are out of work.
More than a third of employers say they are cutting hiring due to new workers’ rights. It has become more expensive for companies to hire staff due to the rise in national insurance tax in April. As minimum wage continues to increase for young workers alongside the tax, it has drastically impacted the employment rate.
What is stopping graduates from getting a job?
The competition for graduate jobs is at its highest, with some big UK companies reducing the number of places in their graduate schemes.
The decline in jobs is not just a problem for graduates, but a long-term risk for businesses and companies. Early career jobs are the backbone of industries, as they’re what develop students into leaders and specialists in an area. Without these jobs, it could affect companies in the years to come.
One way of making it harder for graduates to get jobs is talent spotting. This is the process employers use to search and recruit people with certain high-value skills or potential.
This method bypasses the traditional public applications. The process focuses on top candidates who have the specific and professional traits the employer is looking for, which – in some cases – can lead to unequal hiring.
Other ways that also contribute to graduate unemployment are:
- Extreme competition: The average UK employer receives around 140 applications per graduate job vacancy.
- Graduate Ghosting: This is a big issue for many students in the UK, with 35% of them not hearing back from employers after applying for a graduate job.
- Declining vacancies: Graduate vacancies have dropped by 45%, hitting their lowest levels in years.
- Opportunities overlooked: Many graduates focus on applying for bigger companies; experts suggest looking at smaller companies for a better chance.
What’s driving the lack of opportunities?
The difficulty is somewhat due to the economy. After years of economic uncertainty, especially during and post-COVID, AI applications and shifts in the market have resulted in a drop in vacancies.
Key factors of declining graduate opportunities:
Economic pressures and hiring freezes
- Reduced hiring confidence: Companies are becoming more cautious and are prioritising the continuation of existing staff over hiring new, less experienced employees.
- Increased costs: The rise of national insurance, alongside increased minimum wages and other financial changes, has made it more expensive to hire, especially for entry-level graduate jobs.
The impact of AI
Many companies are actively downsizing their employees and choosing to relocate money from graduates to AI investments. Actions like this have led companies to have AI as a lead contributor, leaving graduates at a loss.
As companies are incorporating AI into their everyday operations, graduates are facing a shrinking pool of entry-level positions. As AI takes over in sectors such as finance, technology, media, and Journalism.
What can you do to be No.1 for a graduate job?
Tailoring your CV to the role
Sending the same CV to every company is an easy mistake we all make, but it shows the employer that you haven’t read what the job is about or taken the time to engage with the company.
To set yourself apart, update your CV for each job you’re applying for. Tailoring it to the job description, adding all the relevant skills and past experiences to show the employer why you are the best fit for the job.
A professional look makes all the difference when laying everything out. Also, by adding a cover letter, it shows that you have read the description and that you care about the job you want.
Making a LinkedIn profile can help, too. You can add it to your CV, but also use it as a place to showcase your work, network, and connect with professionals and explore the career you want to pursue.
Preparing for an interview
Familiarise yourself with different interview formats: You will likely face multiple rounds of interviews when getting a graduate role.
- First round interviews are sometimes over the phone. But these days they are typically being done by a pre-recorded video, in which you will answer questions the employer has asked you to answer regarding the role.
- During the later stages, there will be either a Zoom or a face-to-face interview, where more specific questions about experiences could be asked.
Work experience
Work experience is a great way to boost your chances of getting the job, and makes you more likely to be picked over someone who hasn’t.
This gives you more experience and skills in that specialised area. So when you are starting the job, you have basic knowledge of it, and all the company has to do is build upon those skills to help you succeed in the role.
Speculative application
Although your dream company may not be advertising any jobs, waiting won’t be doing you any good. Send an email with your CV, tailored cover letter, and relevant social media accounts.
This shows the company that you are ambitious and eager to join, and may result in you going through the application process to get a job.
Explore graduate schemes
Graduate schemes are there to offer structured training and development for career progression for your chosen career path.
Don’t Give Up!
The job market is a tough place now more than ever, and rejection can hurt, but persistence will pay off. The best way to succeed is to always try one more time, as that could be your chance and change everything for the better.
