💼 7 Million People Started a New Job in 2025: Digital Tools and Labour Market Mobility

The Government has revealed that more than 7 million people started a new job in 2025, up 300,000 on the previous year, marking one of the strongest periods of job mobility since the pandemic. Spring remained the peak hiring season, with 1.8 million job starts between April and June 2025, demonstrating sustained workforce movement even as overall vacancy numbers have tightened significantly.

Coinciding with National Careers Week, the Government is highlighting the surge in HMRC app usage, with 2.7 million new users joining in 2025 as digital tools become increasingly central to job transitions. The app provides instant access to employment documentation that employers routinely request, reducing administrative barriers for job starters.

📱 HMRC App Usage Surge: Digitalising Job Transitions

The Government is using National Careers Week to promote the HMRC app as an essential tool for jobseekers, particularly targeting young people entering the workforce for the first time who need quick access to employment documentation.

Core App Functionality for Job Starters

The app provides instant access to information that employers routinely request during recruitment and onboarding:

• National Insurance number: Essential identification for all employment
• Employment and income history: Detailed records supporting job applications
• PAYE information including P60s: Tax documentation required by employers
• Current tax code: Information needed for payroll setup
• Digital wallet integration: Storing key documents on smartphones for immediate access

2025 Usage Statistics Demonstrate High Engagement

The 2.7 million new users generated significant activity across the app's core features:

Government Digital Strategy Integration

Myrtle Lloyd, HMRC's Chief Customer Officer, positions the app as addressing practical employment barriers:

This reflects broader government digital first service delivery, using technology to reduce administrative friction in employment transitions.

🏢 Labour Market Context: High Mobility Amid Vacancy Constraints

The 7 million job starts figure reveals a labour market characterised by significant worker mobility even as the total pool of available opportunities has contracted from post pandemic highs.

Vacancy Market Tightening

ONS data for November 2025 to January 2026 shows vacancy levels stabilising at lower levels:

• 726,000 estimated vacancies: Small 0.3% quarterly increase of just 2,000 roles
• Year long downward trend: Vacancies remaining broadly flat after earlier declines
• Post pandemic adjustment: Market settling below previous hiring boom levels
• Competition intensification: Rising unemployed people per available vacancy
• Employer selectivity: More candidates competing for fewer opportunities

Spring Hiring Season Persistence

Despite tighter overall conditions, seasonal hiring patterns remain robust:

Regional Employment Disparities

Job opportunities continue to cluster geographically, creating uneven labour market conditions:

• London and South East concentration: Disproportionate share of available vacancies
• Regional job desert effects: Limited opportunities in some areas
• Mobility pressures: Workers needing to relocate for employment
• Skills mismatch variations: Different qualification demands by region
• Transport accessibility: Commuting constraints affecting job access

📍 Regional Disparities and Policy Implications

While 7 million job starts represents significant national mobility, the concentration of opportunities in London and the South East creates structural disadvantages for workers in other regions.

Geographic Opportunity Distribution

The regional concentration of vacancies shapes both mobility patterns and economic development:

Policy Response Requirements

High national job mobility alongside regional concentration suggests need for targeted policy interventions:

• Regional development investment: Supporting job creation outside the South East
• Transport infrastructure: Improving access to employment centres
• Skills development targeting: Matching training to regional economic needs
• Remote work facilitation: Enabling access to geographically concentrated opportunities
• Relocation support: Assisting workforce mobility where necessary

🔍 Long term Labour Market Trends

The 7 million job starts figure, while impressive, must be understood within broader labour market evolution and structural economic changes.

Technology and Employment Patterns

Digital transformation continues to reshape both job content and job seeking processes:

Demographic and Social Factors

Employment patterns reflect broader social and demographic trends:

• Generational expectations: Younger workers prioritising work-life balance and career development
• Extended working lives: Older workers remaining active longer, competing for opportunities
• Immigration impact: EU and global migration patterns affecting labour supply
• Educational premium growth: Higher qualifications becoming increasingly important
• Career fluidity increase: Multi career working lives becoming normal

Conclusion: Mobility Success Amid Structural Challenges

The 7 million job starts in 2025 demonstrate remarkable labour market mobility and worker confidence, even as the overall vacancy pool has contracted from post pandemic highs. This paradox reveals a labour market where existing workers successfully change roles while new entrants face intensified competition for limited opportunities.

The surge in HMRC app usage, with 2.7 million new users and high engagement across key features, illustrates how digital tools are becoming essential infrastructure for employment transitions. For young people especially, having employment documentation instantly accessible via smartphone provides significant advantages in competitive job markets.

However, mobility benefits are unevenly distributed both geographically and demographically. The concentration of opportunities in London and the South East creates structural disadvantages for workers in other regions, while entry level positions remain scarce despite high overall job movement.

The persistence of seasonal hiring patterns, with 1.8 million spring starts, suggests that established economic rhythms continue to drive employment cycles despite broader market tightening. Spring remains the critical period for both employer recruitment and worker career transitions.

Looking forward, success in this labour market increasingly depends on preparation, digital fluency, and geographic flexibility. The HMRC app's popularity demonstrates that practical tools addressing administrative friction can provide genuine competitive advantage.

Most importantly, high job mobility alongside constrained vacancy growth indicates a labour market that works well for experienced workers but creates challenges for new entrants and those seeking career changes. Policy responses must address both regional opportunity distribution and support for workers navigating increasingly complex employment transitions.

The 7 million job starts represent significant labour market dynamism, but sustained economic growth requires expanding the vacancy pool while maintaining support for worker mobility and digital employment infrastructure.