Britain’s biggest listed recruitment firm has said it expects the downturn in global hiring to persist into next year, as economic storm clouds gather across the UK and Europe.

London-listed Hays (HAS.L) saw yet another slump in fees and has shed more than one-fifth of its consultants compared to the same period last year, as companies continued putting the brakes on hiring.

For the nine months ending March 31, fees were 9% down across the company and 13% in the UK and Ireland compared with the same period the year before.

Hays had 20% fewer consultants in the UK and Ireland than at the same point in 2024, as bosses said they were “not satisfied” with performance pre-Christmas and have tried to make their remaining employees work more efficiently.

Nonetheless, Hays admitted that amid “increasing macroeconomic uncertainty”, market conditions are set to remain “challenging” into its 2026 financial year.

Hays is among the biggest recruitment agencies in Europe, and its fortunes are closely tied to the market for office-based jobs in the UK, Germany, France and others.

It mainly hires for companies in the accountancy and technology sectors, among others.

But amid worsening economic conditions across much of Western Europe, and growing uncertainty from Donald Trump’s global trade war, firms are still holding off hiring.

Chief executive Dirk Hahn said across the group, consultant fee productivity – a key efficiency metric – grew 5% compared to the same period last year.

Meanwhile, he added that cost-cutting efforts are “progressing well”, including in the UK and Ireland.

Hays is looking to cut back office costs by £30 million a year by mid-2028 across the group.

“We are structurally improving Hays and I remain confident that we will benefit materially when markets recover,” he added.

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