Demand for IT staff accelerates in July

Monthly figures suggest job recovery is continuing to strengthen

More IT staff than in the previous month were sought in July across the UK, according to monthly vacancy analysis by KPMG with the Recruitment and Employment Confederation (REC).

Heath Jackson, partner in the CIO advisory practice at KPMG, said for the first time in months we are witnessing churn in the IT labour market as well, with IT professionals "finally beginning to wake up to the opportunities" available.

"Perhaps it's true that every person has his or her price, because the movement in labour is coinciding with another rise in starting salaries," Jackson opined. "Just a few months ago employers couldn't tempt staff to switch roles but indications are that employee caution over change is being replaced with hunger for something new."

The monthly index, performed by Markit on behalf of KPMG and the REC, indicated a "strong expansion in demand" in July for both permanent and temporary IT workers. Rates of growth were faster than in June as well, according to the companies' announcement.

For permanent staff, more were sought than in each of the previous three months, and the demand was stronger than that for permanent staff in all skill sectors. For temps, the rate of growth in demand hit a six-month high.

The index is worked out based on answers to a questionnaire filled in by a panel of 400 UK-based recruitment agencies, calculating the percentages of respondents who report an improvement, no change or decline. At the end of each month, respondents are asked to specify the direction of change in a number of factors. Adjustments are made for expected seasonal variation, according to Markit.