Private-sector job vacancies have increased for the first time in over two years, according to a report from KPMG and the Recruitment & Employment Confederation. The report – where a figure above 50 represents growth – recorded a reading of 52.9, indicating month-on-month growth for the first time since 2024. Jon Holt, group chief executive at KPMG, said: “For the second month in a row we are seeing the jobs market starting to flicker back to life.” However, he cautioned that the recovery remains fragile, with some sectors potentially favouring employers as job seekers increase.

Marco Amitrano, chief executive of PwC UK, expects the hiring of younger staff across the professional services sector to “push back up,” countering concerns that AI will reduce entry-level jobs. Mr Amitrano, who attributed recent hiring slowdowns to economic instability rather than increased reliance on the technology, said: “I don’t see a single statement of ‘AI is going to reduce the number of young people we are hiring’ as a valid statement at all.” PwC says the number of entry-level recruits is “broadly consistent” with last year, at around 1,300, adding that the firm “will continue to be a significant recruiter of young people at the start of their careers.”

Dame Julia Hoggett, CEO of the London Stock Exchange (LSE), has warned that the UK must enhance its appeal for investors. She noted that many large firms are opting to list in the US, which could harm the UK economy by reducing tax revenues. Dame Julia said: “If we want Britain to back Britain… let’s make sure that we’re creating structural incentives.” She suggested eliminating the 0.5% tax on UK share purchases and reintroducing tax credits for domestic investors. The Confederation of British Industry has echoed calls for urgent reforms to retain firms in the London market.

The European Commission is exploring a broad tax on large corporations, including US tech firms, in an effort to raise EU revenues while avoiding US retaliation.

Analysis suggests that the Middle East conflict has reduced Britain’s fiscal headroom to about £12bn, marking a significant decline from the £23.6bn forecast by the Office for Budget Responsibility in March.

Young accountants are entering the profession with strong AI skills, according to a report by Intuit QuickBooks. Nearly 90% of over 1,000 early-career accountants believe they are better equipped to use AI than their senior colleagues. However, employers warn that critical thinking, communication and judgement are becoming vital as AI takes on more routine work. Glenn Collins, head of technical and strategic engagement at the ACCA, says firms “need to ensure growing confidence with AI is matched by responsible use,” while Cecilia van Eeden, head of talent development at Moore Kingston Smith, said reviewing AI output is a “core skill.”

An independent report estimates Russia-linked hostile activity costs UK taxpayers more than £2.5bn a year, including £1.5bn from cyberattacks, up to £500m in subsea cable damage and £500m in private-sector losses. More than 300 Russia-linked cyber incidents have occurred since 2022, with costs expected to rise as hybrid warfare intensifies.

Darktrace has issued a warning over the risk of data theft through common workplace software, following a breach at EY that exposed sensitive information linked to Goldman Sachs and Man Group. Nathaniel Jones, senior vice president of global threat intelligence at the cybersecurity platform, noted that attackers can disguise their activities as normal business operations.

Retailers are urging Chancellor John Healey to reduce green policy costs on energy bills, warning of a £440m increase this year. The British Retail Consortium said that rising policy costs will lead to higher prices for consumers. Its research indicates that electricity costs for retailers will rise from £2.72bn to £3.16bn, primarily due to government levies rather than global energy price increases.

A cross-party group of 40 MPs have urged Chancellor John Healey to implement a private jet tax, saying it will help plug a gap in government finances. The MPs argue that taxing private jets at the same rate as commercial flights would close existing loopholes. A survey by More in Common shows that 79% of voters support such a levy, which could generate £2.7bn.