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March 10, 2026
Quick Answer:
Flexible hiring is gaining momentum in 2026 as businesses turn to temporary and contract staff to access skills faster, reduce risk, and adapt to uncertain market conditions.
Key Takeaways
Something shifted in the regional hiring data this year that deserves more attention than it’s getting. The KPMG and REC UK Report on Jobs, released on 9 March 2026, shows the South of England’s Temporary Billings Index moving into growth territory for the first time in two years. The South has now outpaced the UK average.
This matters because temporary hiring tends to move first. When businesses aren’t confident enough to commit to permanent headcount, but still have work to deliver, they don’t stop hiring. They just change how they hire.
That’s what we’re seeing now.
There are a few forces converging at once.
Cost pressure is still there. The Employment Rights Act changes, National Insurance increases, and general wage inflation all make permanent hires feel like a bigger commitment than they did two years ago.
At the same time, demand hasn’t disappeared. Projects still need delivering. Teams still need covering. Growth hasn’t stopped, it’s just uneven.
Contract and temporary hiring sits neatly in the middle of that. It gives businesses the ability to keep moving without locking themselves into long-term cost.
There’s another change that’s less obvious, but just as important.
The calibre of candidates in the temp market has moved.
This isn’t just a pool of people between permanent roles. We’re seeing experienced finance managers, operations leads, and project specialists actively choosing contract work. For some, it’s about flexibility. For others, it’s about rate. For many, it’s about variety and control over the type of work they take on.
That changes the equation for employers. Hiring a contractor is no longer a compromise option. In many cases, it’s access to highly experienced talent who can deliver value immediately.
Q2 2026 is shaping up to be a genuine decision point. Businesses with work to do but cautious boards are caught between under-resourcing and overcommitting. Temporary and interim staffing is the obvious lever, but it’s still underused relative to where the demand actually sits.
The most common mistake we see is leaving a temp requirement too late. By the time a business acknowledges it needs resource, the gap is already costing money. A qualified interim hired in April can have real impact by May. A permanent hire starting the same search in April won’t be producing independently until September at the earliest.
Speed of deployment is the core advantage of contract staffing. Pair that with the current depth of the regional temp candidate market, and there’s a genuine opportunity here for businesses willing to move quickly.
Demand across the South-West is particularly strong in:
If you’re looking at a gap in one of these functions and you’ve been waiting to see how the year develops before committing, the data suggests you don’t need to wait. The candidate market is active. The timing is good.
We’ve run a specialist temporary and contract division since we started. It’s not an afterthought or a bolt-on to our permanent service. We maintain an active network of interim professionals across the South-West, which means we’re not starting from scratch every time a brief comes in.
If you’ve got a Q2 resourcing gap, now is the right time to have that conversation.
It refers to the increasing use of temporary and contract hiring as a strategic workforce solution in response to economic uncertainty and changing hiring needs.
Flexible hiring allows businesses to stay agile, control costs, and access skilled professionals without long-term commitments.
Employers gain faster access to talent, while job seekers benefit from more flexible, project-based career opportunities with competitive rates.
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CMD Recruitment works with employers and candidates across Wiltshire, Bath, Bristol and the wider South West.
Browse the latest job vacancies or speak with one of our recruitment consultants today.
About the Author
CMD Recruitment Career Team
This article was written by recruitment specialists at CMD Recruitment, a UK recruitment consultancy supporting employers and candidates across Wiltshire, Bath, Bristol and the wider South West.
The team regularly shares insights on recruitment trends, hiring challenges and career advice to help professionals navigate the evolving job market.
Reviewed by senior recruitment consultants at CMD Recruitment.
