The number of vacancies across the permanent IT job market dropped from 15,492 in July to 13,973 in August (down 9.81%), according data from IT recruiter Computer People.

The data also reveals contractor positions were down 0.18% from 6,033 to 6,022.

The public sector was the hardest hit with a 21.56% decrease in vacancies, while there was an incremental (1.45%) increase in contract jobs in the creative and new media industry.

Sid Barnes, executive director, Computer People, says: “While we are still in a candidate-led market, if the drop in vacancies continues we could see a lowering of salaries and an increased tendency for candidates to remain in current roles rather than look for other opportunities.

“The figures for September will be the key indicator of where the market is headed. We anticipated a decline in the number of vacancies in August, as this is a key holiday month in the UK calendar. So it is difficult to hold much sway with August’s figures – September will prove much more telling.”