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The latest KPMG and REC UK Report on Jobs shows hiring nearing stabilisation in February. Permanent recruitment improved, while temp billings dipped only slightly. Worker demand fell at the slowest pace in nine months, helped by a smaller drop in permanent vacancies. Pay pressures also eased. Starting salaries and temp wages grew more slowly and remained below long-run inflation trends. Meanwhile, labour supply improved, with candidate availability rising faster than at the start of 2026.