For many recruitment businesses in the UK, the market is feeling increasingly crowded with more consultants, competition, and tighter budgets. It's no surprise that more recruitment leaders are starting to look beyond the UK for their next phase of growth - and the case for doing so is becoming stronger.
APSCo's Inside Economy report for Q2 2026, produced in partnership with economist Christian Spence of Economic Analytics shows some difficulty in the current market which has continued to persist throughout the year. Early 2026 showed some encouraging signs, but the ongoing conflict in the Middle East and the closure of the Strait of Hormuz have haltered progress – which is likely to continue between six months and two years.
Inflation, previously expected to settle back at 2%, is now forecast to hit 3.5 - 4% by Q3. Consumer spending is still below pre-pandemic levels. The key watchpoint for the rest of 2026 is how long the Strait of Hormuz remains closed and the knock-on impact on inflation and household spending. APSCo members can access the full report here.
The US is a good place to start. Despite facing the same global pressures - trade disruption, rising energy costs, geopolitical uncertainty - the American economy has kept growing. A recent BBC analysis highlighted that rather than accepting lower margins when faced with new trade pressures, US businesses invested harder, with capital expenditure reported by the Chief Economist at RSM to be running at 13.9% of GDP. The broader economy has continued to expand at an annualised rate of around 2%. For recruitment organisations, that kind of resilience increases hiring confidence.
According to research from APSCo Trusted Partner, Workwell Global, the US staffing market was worth $178.7 billion in 2025 and is forecast to grow by a further 2.1% in 2026. Recruitment organisations are better placed than before - with greater market knowledge and smarter use of technology improving efficiency across the board. Workwell Global's research points to clear growth pockets in sectors including life sciences, which is forecast to grow by 5%, engineering by 3%, and finance and accounting by 2%, with IT and marketing also on the rise. For UK recruiters with specialist expertise in these areas, there could be opportunities for growth here.
The UK market is expected to bounce back at some point. However, if you want to grow internationally, now could be a good time to set these plans in motion. Going international isn't just about chasing growth - it can be a great way to build a more resilient business that isn't ruled by one set of economic conditions.
Whether you're thinking about placing contractors into the US, exploring other international markets, or simply wanting to understand what's possible, APSCo and our global partners are here to help. Discover more about APSCo’s International Services.
We also have International Forums coming up in London (23rd June) and Manchester (2nd July) tailored for recruitment firms looking to grow, with an expert panel examining the journey to international expansion.
Find out more and register below:
International Forum - Manchester