UK Jobs Vacancies Are Falling But Automotive Skills Demand Remains Strong
Institute of the Motor Industry - Reports
IMI Vacancies Tracker
Emma Carrigy, Head of Research, Careers and Inclusion at the Institute of the Motor Industry (IMI) comments:
“Recent headlines suggest the UK labour market is cooling. Vacancies are down. Hiring is slowing. Competition for roles is increasing. On the surface, that sounds like pressure is easing. But in automotive, it’s not that simple. When we look at the latest data from the IMI Vacancy Tracker, what stands out isn’t the disappearance of labour shortages, it’s a shift from volume pressure to capability pressure. And that’s arguably harder to solve."
(Copyright text and image of Emma Carrigy IMI, reproduced with kind permission)
IMI Vacancies Tracker
UK jobs vacancies are falling but automotive skills demand remains strong
Emma Carrigy, Head of Research, Careers and Inclusion at the Institute of the Motor Industry (IMI) comments:
“Recent headlines suggest the UK labour market is cooling. Vacancies are down. Hiring is slowing. Competition for roles is increasing. On the surface, that sounds like pressure is easing. But in automotive, it’s not that simple. When we look at the latest data from the IMI Vacancy Tracker, what stands out isn’t the disappearance of labour shortages, it’s a shift from volume pressure to capability pressure. And that’s arguably harder to solve.
“As markets cool, structural weaknesses become more visible. Automotive vacancy rates remain above the national average, but demand is becoming more concentrated around specific technical and diagnostic skills, electrification capability and multi-skilled expertise. This is the phase where workforce strategy really matters. It’s not about how many people we need, it’s about having the right skills architecture for where the sector is heading.
“A cooling labour market doesn’t automatically resolve structural skills gaps. In some cases, it sharpens them. That’s why sector-specific insight matters, and why we need to be careful not to oversimplify the narrative.”
Read the full analysis from the Institute of the Motor Industry (IMI) here:
Vacancy Tracker - January 2026 | Institute of The Motor Industry
