The rate of decline in permanent recruitment accelerated in July but the decline in temporary recruitment eased, according to the  Recruitment and Employment Confederation (REC) and KPMG Report on Jobs.

There were further rises in both permanent and temporary/contract staff availability, while wages and salaries decreased at weaker rates.

Tom Hadley, director of external relations for the REC, says: “The employment landscape remains volatile at best but life is slowly returning to the temporary work market. The rate of contraction for temporary and contract work has eased to the slowest in 10 months and flexible working options will continue to provide a crucial outlet for both job-seekers and employers over the coming months. With the government currently considering how best to implement new EU regulations on agency work, it will be vital to ensure that the new legislation does not negate this positive contribution and clog up this key route into work for thousands of workers.