UK tech employers shift hiring focus from universities to skills
New data suggests that UK technology employers are placing less emphasis on university prestige and more on practical skills when hiring graduates for entry-level roles.
The findings come from the latest Diversity in Tech report by mthree, a provider of job-ready talent and training to a range of sectors, including technology, banking, and the public sector. The report is based on a survey of C-suite, director, and HR manager-level IT leaders within medium to large UK enterprises.
According to the research, 39% of employers now consider graduates from all universities equally, a notable increase from 23% reported the previous year. This shift away from favouring degrees from elite universities signals a move towards a skills-first approach to recruitment.
While a university degree still holds importance in the hiring process, the specific institution attended has become less of a deciding factor. As a result, graduate opportunities may become accessible to a wider range of candidates, potentially helping employers to address ongoing skills shortages within the sector.
Focus on soft and technical skills
The report also highlights growing concerns among UK tech employers about the readiness of graduates for the workplace. Nearly one-third (31%) of respondents said candidates lacked necessary soft skills such as communication and problem-solving. This figure is up from 25% in the previous year.
Additionally, 61% of the businesses surveyed reported a significant shortage of specific technical skills required for their roles. This is a sharp rise compared to the 41% recorded the previous year. The increased skill gap is attributed in part to the rapid pace of technological change and the widespread adoption of artificial intelligence across industries.
Alex Headley, Chief Executive Officer of mthree, said:
"Employers are increasingly focused on what graduates can deliver from day one. As technological change accelerates across every major industry, the ability to source and develop adaptable, job-ready talent is critical.
"This research reinforces the need for businesses to adopt skills-first hiring models that help close the gap between education and employment. Our hire-train-deploy approach enables companies to access graduate talent with the technical and interpersonal skills required to deliver value in fast-evolving environments."
The hire-train-deploy approach adopted by mthree involves sourcing graduates from a diverse range of degrees and backgrounds, training them in both technical and workplace skills, and placing them into roles with employers looking for immediate impact.
Broadening the talent pool
Employers' readiness to consider graduates from a wider range of universities may widen the talent pool and enable organisations to recruit from a more diverse background. It may also assist in resolving persistent gaps in both technical ability and soft skills that the sector is currently experiencing.
The reported skills gap coincides with employers' rising expectations for job-ready graduates who can contribute immediately in fast-evolving environments. Increasingly, businesses are recognising the value of both technical proficiency and interpersonal strengths, as digital transformation continues to affect all areas of industry.
Responses from surveyed business leaders suggest that traditional assumptions about higher education and the most 'valuable' universities have less influence on recruitment decisions than in previous years. The new direction is supported by the growing number of employers seeking candidates with in-demand technical and interpersonal skills, rather than focusing solely on academic background.
The findings suggest a significant change in the way UK tech companies approach graduate recruitment, with implications for both graduates and employers seeking to navigate ongoing digital change and workforce transformation.
