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The Report
UK salary growth is becoming concentrated in high-skill, specialist roles, according to new analysis from Totaljobs. Analysis of over 21.6M job ads across the market found that median advertised pay has risen 7.5% year-on-year to just over £33,500, driven largely by strong demand for technical, data and AI expertise, while lower-paid industries and regions continue to fall behind.
Mentions of technical skills in job adverts rose 12% between 2024 and 2025, signalling growing demand for advanced capabilities across roles and industries, and reinforcing the role of specialist skills in driving pay growth.
Despite rising salaries, many workers are still feeling the impact of increased living costs. Findings from Totaljobs’ Salary and Benefits Report 2026 found that 63% received a pay rise in the past 12 months, yet 53% have cut back on leisure spending and 32% have reduced spending on essentials, underscoring the pressure households continue to face. This makes competitive salaries, transparent pay, and clear progression routes increasingly critical for employers looking to attract talent.
Tech dominates the UK’s highest-paid roles
The report shows that many of the UK’s best-paid jobs sit within the technology sector, where demand for AI, automation, and cloud expertise continues to outpace supply. Roles such as Python developers (£90,000), technical architects (£87,500) and AI software developers (£75,000) stand out at the top of the median salary spectrum, alongside senior software engineers (£70,000). These roles point to a market where advanced programming, systems design, and machine learning capabilities are becoming essential to business growth.
Reflecting this shift, one in four recruiters (25%) rank AI and automation skills as the most valuable capability when determining salary or career progression, ahead of leadership and other technical skills. Tech workers are also among the most likely to see pay increases, with 66% receiving a pay rise in the past 12 months.
Lower-paid sectors struggle to keep pace
By contrast, industries with large frontline or customer-facing workforces remain among the lowest-paid. Median salaries in Hospitality (£27,258), Retail (£27,466), Travel (£27,404) and Administration (£27,500) continue to fall below national averages. This widening gap highlights structural differences across the labour market, as rising demand for technical and digital skills increasingly shapes pay and progression even beyond traditionally ‘tech’ roles.
Cities show strong regional hubs, but the national pay gap persists
Totaljobs’ analysis highlights noticeable differences in earning potential across the UK. London remains the country’s highest-paying city, with a median salary of £40,000 and the biggest spread of available roles. A number of regional centres, however, are starting to narrow the gap. Oxford (£37,500), Birmingham (£35,528) and Leeds (£35,000) all post strong median salaries, supported by steady demand in education, healthcare, tech and professional services.
But despite these bright spots, the national pay divide is still significant. In Swansea, the median salary sits at £29,307, over £10,000 less than London, underscoring how uneven pay growth remains across the country.
Commenting on the research, Luke Mckend, Managing Director at Stepstone Group said, “Across the UK labour market, we’re seeing a clear recalibration. Hiring volumes remain softer than the post-pandemic peak, yet advertised pay continues to rise – particularly for roles requiring advanced technical, leadership or AI-driven skills. This growing skills premium reflects both the pace of technological change and the increasing pressure on employers to secure the talent that will future proof their organisations.
“These trends form part of a wider workforce rebalancing, where long-term structural forces are reshaping the supply and demand for skills. Employers are now competing not just on pay, but on their ability to offer sustainable career pathways, inclusive cultures and working models that meet evolving worker expectations.
“With salary now a proxy for value, opportunity and equity, accessible data is essential to building a more informed and competitive jobs market in 2026 and beyond. Employers who embrace this recalibration by investing in skills, embedding fairness and aligning their workforce strategies with broader economic realities, will be best positioned to thrive in the years ahead.”
About The Stepstone Group: The Stepstone Group is a leading global digital recruitment platform that connects companies with the right talent and helps people find the right job. AI-driven job marketplaces and programmatic-powered marketing solutions connect about 140 million job applications with more than 130,000 employers every year. In 2024, The Stepstone Group generated revenue of over €900 million. The Stepstone Group operates in more than 30 countries – including Stepstone in Germany, Appcast in the USA and Totaljobs in the UK. The company is headquartered in Düsseldorf, Germany and employs about 3,000 people worldwide. For more information: www.thestepstonegroup.com/english
About the research:
Totaljobs analysed 21.6 million UK job positions collected through OTT (The Stepstone Group’s job-ad analysis tool) covering 2019-2025 across 23 industries and 21 major UK cities (though fewer are published in this report for consistency with previous editions).
Listings were deduplicated, salaries standardised and outliers removed. Keep in mind that all salary data reflects advertised salaries over actual earnings, highlighting how employers position roles in a tight market. Industry and overall salary ranges use the 5th percentile, median and 95th percentile, while occupation ranges use the 25th percentile, median and 75th percentile.
Survey benefit options were mapped to the broader set of benefits captured in OTT to allow like-for-like comparison. Gender Pay Gap indicators were calculated using Office for National Statistics (ONS) weekly and hourly earnings data, mapped back to our industry framework.
Two surveys ran between 18 November and 26 November 2025, capturing views from 3,000 UK workers and 1,000 recruiters and HR professionals. We used a new survey provider this year, with sampling and weighting aligned to previous years for comparability.
