We must not allow ourselves to talk down the UK labour market by focusing only on bad news, according to Tom Hadley, director of policy and professional services at the Recruitment & Employment Confederation (REC).

Responding to a report by the economic forecasting group the Ernst & Young ITEM Club that the number of public sector job losses over the next five years will be around 500,000 rather than the 400,000 previously announced by the Office of Budget Responsibility, Hadley tells Recruiter: “The immediate outlook is not buoyant but we must avoid talking the UK labour market down.

“Jobs are still being created and recruitment professionals are reporting high demand for staff in a number of key sectors.

“In terms of impact on the overall employment landscape, it is important to note that the additional job losses are over a five-year period. The UK’s job creation machine will be sufficiently cranked up by then to compensate.”