Half of UK businesses plan to increase temporary hiring

A new survey has revealed that half of UK businesses plan to increase their temporary workforce on a regular basis during 2025.

This is despite the growing financial pressures on businesses, which have worsened due to the recent rise in employers’ National Insurance Contributions (NIC).

A new Indeed Flex survey shows that as many as 60% of firms are concerned that the increase in Employers’ NIC will impact hiring new employees this year. In fact, 29% of businesses slowed or paused recruitment following the first mention of tax changes during the Chancellor’s Autumn Budget last year.

Of the businesses turning to temporary workers, 34% said they find it both quicker and easier to hire temps compared to permanent employees, while another 34% said it will help them to manage their rising cost pressures.

CEO and Co-founder of Indeed Flex, Novo Constare, said, “The increase in National Insurance Contributions (NIC) is putting businesses under greater financial pressure and restricting their ability to make new hires, which is why we’re seeing more firms turn to temporary staff.

“Temporary workers offer businesses a way to quickly adjust to fluctuating demand without the overhead costs associated with permanent employees.”

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