Recruitment Benchmarking Report

The recruitment sector has experienced another challenging year and whilst the market didn’t fully recover, well run recruitment firms did.

We reported a weak start to 2025, marked by falling income, rising cost ratios and declining confidence, many businesses were forced to reassess how they operate. While market conditions have remained difficult, particularly in the UK, the second half of the year has shown clear signs of stabilisation for those firms willing to take decisive action.

Bringing together powerful benchmarking insights from recruitment businesses across the UK, this report lifts the lid on how the industry really performed in 2025.

Discover the pressure points that surfaced early in the year, the bold operational shifts leaders made in response, and how those decisions reshaped profitability, productivity, and cost control by Q3 and Q4.

The report includes:

  • Understanding the 60:20:20 model
  • Key performance trends that defined 2025
  • What’s really happening in the market right now
  • The must‑focus priorities for 2026

DOWNLOAD THE RECRUITMENT BENCHMARKING REPORT 

 

 

Recruitment Sector Outlook 2026

For more guidance, insights, and articles on the recruitment, download our 2026 Recruitment Sector Outlook.

You’ll find practical guidance on international expansion, long term incentive plans, tax updates, marketing tips, operations developments and M&A insights, as well as thought leadership from networks and advisors who spend their time in and around recruitment boardrooms.

Download Recruitment Sector Outlook

The Recruitment Sector Outlook is produced by Recruitment Accountants, a division of TC Group.

Accountants for the recruitment sector

Trusted by over 100 recruitment businesses, our specialist team of recruitment accountants, auditors, and tax advisors bring years of hands-on experience in the sector. To find out more, fill in the form below for a free consultation.

*required

    This site is protected by hCaptcha and its Privacy Policy and Terms of Service apply.

    You might be interested in...

    1. TC Group Insights

      08 Apr 2026

      UK Umbrella Company Legislation Changes Proposed for April 2026

      Changes to UK umbrella company legislation from April 2026. Understand the impact of joint and several liability on your business and how to prepare with the right due diligence and risk controls.

      Learn more

      UK Umbrella Company Legislation Changes Proposed for April 2026
    2. Recruitment Sector Employee Incentives

      11 Mar 2026

      Employee Incentives for the Recruitment Sector

      Looking beyond salary and commission, read our blog on how to incentive your best people with equity-based incentives including EMI options, growth shares and phantom share schemes.

      Learn more

      Employee Incentives for the Recruitment Sector
    3. International Recruitment Companies

      11 Mar 2026

      Thinking Beyond The UK For Recruitment Companies

      The UK recruitment market is crowded and highly competitive. What should recruitment agency owners consider before moving into international markets.

      Learn more

      Thinking Beyond The UK For Recruitment Companies