By Daniel Hunter

The Recruitment and Employment Confederation (REC) and KPMG Report on Jobs provides the most comprehensive guide to the UK labour market, drawing on original survey data provided by recruitment consultancies.

The number of people placed in jobs by recruitment consultancies rose at a strong and accelerated pace in July. Permanent placements increased at the sharpest rate since March 2010, while temp billings were up at the fastest pace in almost two-and-a-half years.

Supporting higher appointments was a further rise in demand for staff during July. Overall job vacancies increased at the strongest rate in six years.

The rate of inflation of permanent staff salaries quickened in July to its highest for over two years. Temp pay rates rose at the sharpest pace since January 2008.

Recruitment consultants indicated a decline in the availability of candidates to fill job vacancies during the latest survey period. Lower availability was signalled for both permanent and temporary staff, with the former registering the sharper fall.

Higher permanent staff appointments were signalled in all four monitored English regions during the latest month, with the fastest expansion recorded in the North.

Growth of temp billings was broad-based across the English regions in July. The strongest increases were seen in the North and the South.

Public sector demand for permanent staff fell in July, following a rise in the previous month. Public sector demand for temp staff meanwhile rose at a solid pace that was the fastest so far this year.

Private sector demand for staff strengthened in July. Stronger rates of growth were signalled for both permanent and temporary workers, with the latest expansions the sharpest since data were first available in December 2011.

Higher levels of demand were signalled for all nine types of permanent staff monitored by the survey in July. The strongest rate of expansion was indicated for Engineering workers, as has been the case throughout the past four months. The slowest vacancy growth was recorded for Blue Collar staff.

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