The number of people being placed in permanent jobs by recruitment agencies fell at its fastest rate for more than five years in June – yet further evidence of the severity of the slowdown in the UK economy. According to the latest KPMG/ REC monthly employment survey, the number of people placed in jobs fell for the fourth month out of five in June, and at its fastest rate since May 2003. The figures will put pressure on the Bank of England to keep interest as they are. The Bank has also been under pressure in some quarters to lower rates this week, to help ease the pain from the ongoing credit crunch. But such a move would risk further fuelling inflation. The consensus among economists is that the Bank is now almost certain to keep rates on hold this month.
The Independent