New research has revealed that 69% of professional recruitment firms have experienced an increase in net fee income over the last twelve months.
This is slightly down on last year’s figures of 72%, but average annual growth across all respondents remains steady at 29%.
The second annual UK Recruitment Index, conducted jointly by professional services firm Deloitte and freelancer group APSCo, also found that just under half of those questioned plan to expand with new offices, of which 65% of will be opened overseas.
Ann Swain, Chief Executive of APSCo, said: “Last year there was a view that growth was coming – and that it was very much on the agenda – but that recruitment firms were unsure whether it was going to last.
“This year’s report shows clearly that the growth has not only been achieved – but that it has been sustained – and there is consequently much more confidence in the market.”
There are still great challenges facing the industry though, with the majority of respondents citing lack of talent to cope with sustained growth as the main issue.
Candidate attraction techniques are therefore as important as ever, with Ann Swain describing innovative initiatives as essential to future success.
She said: “Flexible working has moved quite a way up the agenda of what potential recruitment consultants are looking for when they join a firm, and the more forward looking businesses have updated their offerings to accommodate this.”