The latest Q2 2025 UK Margin Index Report reveals which recruitment sectors are delivering the strongest gross profit margins. Despite wider economic caution, several industries are continuing to generate consistent returns for agencies across the UK — particularly those with urgent, high-volume or specialist staffing needs.
Here’s a look at the top-performing main sectors this quarter, and why they’re proving most profitable in the current market.
1. Hospitality – 23.27%
Hospitality recruitment continues to thrive thanks to a busy events calendar and sustained demand across leisure and tourism.
Why it’s performing well:
- Consistent demand for chefs, waiting staff, porters and housekeeping roles.
- High volume of short-notice and weekend bookings, often attracting higher margins.
- London and other tourist hotspots boosting temp activity.
Agencies that can supply reliable workers at speed are reaping the rewards.
2. Education – 23.18%
Education has remained a reliable and steady performer in Q2, offering year-round recruitment opportunities.
Key margin drivers:
- Strong demand for supply teachers, teaching assistants, and SEND support roles.
- Daily and long-term cover often booked last-minute, allowing agencies to charge appropriately.
- Schools preferring tried-and-tested suppliers, ensuring repeat business.
Recruiters with strong compliance processes and local relationships are particularly benefiting.
3. Healthcare – 23.09%
Healthcare remains one of the most consistently high-demand sectors in the UK, with margins holding firm.
What’s fuelling profitability:
- Continued demand for nurses, carers and support workers in care homes and private settings.
- Out-of-hours, weekend and emergency placements continue to offer higher returns.
- Framework access helps maintain placement flow and margin integrity.
Despite operational pressures, compliant agencies with good availability are well-positioned.
4. Commercial – 20.71%
The Commercial sector saw stable returns in Q2, driven by consistent hiring across admin and office-based roles.
Why it remains profitable:
- High demand for temps in data entry, reception, customer service and back-office support.
- Quick-fill roles keep average margins strong despite lower individual rates.
- Ongoing demand in both public and private sectors.
Agencies that specialise in quick turnaround and high-volume bookings are maintaining profitability.
5. Driving – 19.57%
Driving remains a core sector for many recruiters, delivering reliable gross margins through ongoing logistical demand.
Contributing factors:
- A steady need for HGV, van and multi-drop drivers.
- Weekends, night shifts and same-day bookings keep rates competitive.
- Industrial and retail supply chains underpin constant demand.
Margins remain sustainable, particularly for agencies with 24/7 coverage and robust rota systems.
What Does This Mean for UK Recruitment Agencies?
These figures highlight that specialist, high-demand sectors with short-notice staffing needs and compliance requirements continue to offer strong opportunities for margin growth in the UK.
If you’re recruiting in these industries, or planning to diversify, Q2’s performance shows:
- Predictable and repeat demand
- Higher average margins on urgent or skilled roles
- Opportunities to build client loyalty with consistent service
Want to see how your margins stack up?
Use our free Recruitment Margin Calculator to find out exactly where you stand and identify areas for improvement.
Or download the full Q2 2025 Margin Index Report to explore margin trends across 20+ UK recruitment sectors.
Let’s Grow Your Recruitment Business — Profitably!
At Simplicity, we help recruitment agencies grow faster and more sustainably through expert funding solutions and seamless back-office support.
Whether you want to:
- Improve cash flow
- Reduce admin headaches
- Or free up time to focus on billing and business development
…we’re here to help you increase your margins and scale confidently.