Employer confidence in the UK has hit its lowest point in years, according to the latest CIPD Labour Market Outlook. Hiring intentions are down, redundancy expectations are up, and a cautious mood is taking hold across sectors. But what’s really driving this shift — and what does it mean for HR professionals trying to plan ahead? In this blog, we explore the wider economic picture behind the headline stats, including the impact of high interest rates, global instability, Brexit, and skills mismatches. We also take a closer look at which sectors are struggling most, and why jobseekers are feeling the effects. It’s not all doom and gloom — but it is a moment to reflect. As businesses hesitate to invest, the role of HR becomes even more critical in shaping strategy, supporting people, and navigating uncertainty with confidence.