20.01.202607:18:13UTC+00UK Payroll Employment Falls to Lowest Since 2020

In December 2025, the United Kingdom experienced a reduction in the number of payrolled employees by 43,000, representing a decline of 0.1%, bringing the total to 30.2 million. This marks a continuation of a downward trend for the fourth month in a row, with this particular decrease being the most significant since November 2020. When compared to the same period the previous year, payrolled employment saw a reduction of 184,000, or 0.6%. The wholesale and retail sectors were hit hardest, shedding 72,000 employees, while the health and social work sectors witnessed the most substantial gain, adding 37,000 employees. Examining regional data across NUTS3 areas, Westminster experienced a notable 3% decline in payrolled employees, contrasting with Mid Ulster, which saw a 2% increase. During this period, the median monthly pay rose by 4% compared to the previous year, reaching £2,555. The wholesale and retail sectors recorded the highest pay growth at 5.9%, whereas the education sector saw the smallest increase at 1.4%.