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Skills shortages named top hiring challenge for employers, study finds

YouGov found that 38% of employers expect sourcing qualified talent to be one of their most significant hiring challenges this year.

Skills shortages named top hiring challenge for employers, study finds
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Finding suitably qualified candidates is set to be the biggest recruitment challenge for UK employers in 2026, according to research conducted by YouGov on behalf of HireRight.

The survey of HR and recruitment decision-makers at organisations with more than 500 employees found that 38% expect sourcing qualified talent to be one of their most significant hiring challenges this year.

Alongside skills shortages, employers are also contending with rising candidate expectations around pay and benefits, cited by 30% of respondents, while 26% anticipate difficulties managing high volumes of applications.

The findings reflect an already strained hiring environment.

During 2025, 30% of organisations reported roles remaining unfilled for between three and six months, while 25% experienced prolonged hiring timelines and a further 25% faced reduced recruitment budgets.

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Flexibility expectations are also shaping hiring outcomes.

More than a quarter (26%) of employers said candidates withdrew from recruitment processes when remote working was not offered, highlighting an ongoing mismatch between employer policies and candidate preferences.

The research also pointed to growing risks around identity fraud in recruitment.

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Nearly a quarter (24%) of organisations reported discovering identity fraud among candidates or employees during 2025, typically identified during background screening or post-hire checks.

A further 19% said they were unsure whether fraud had occurred, suggesting potential gaps in detection processes.

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Rob Harwood Reid, VP of Go-To-Market UK and Europe at HireRight, said: “The research highlights just how demanding the recruitment environment has become for UK employers.

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“Organisations are facing multiple challenges including skills shortages, evolving candidate expectations and tighter hiring budgets.

“At the same time, the increased sophistication of identity fraud, a rise in AI-generated falsified documents and the cost of a bad hire underscore the need for robust background screening processes, underpinned by high quality data sources, to help mitigate against these potential threats to a company’s financial wellbeing and reputation.”