REC responds to the King's Speech 2026: Government must step on the gas to realise growth agenda

The 2026 opening of Parliament and King's speech included several announcements of interest to recruiters and employers.

• The Small Business Protections (Late Payments) Bill, alongside new powers for the Small Business Commissioner relating to late payments announced in March
• The Digital Access to Services Bill, which will introduce Digital ID.
• The Regulating for Growth Bill, aiming to reduce the burden of unnecessary regulation through innovation.
• The NHS Modernisation Bill, which abolishes NHS England, moves some functions directly into the Department of Health and Social Care, reconfigures certain duties of ICBs, and creates a new patient voice function. There is no mention of further changes to agency workers.
• Continued investment in apprenticeships and measures that tackle youth unemployment, including by responding to the Milburn Review.
• The European Partnership Bill, to strengthen ties with the European Union.

The government is right to place economic growth at the centre of its agenda. However, growth will only be delivered if businesses are given the confidence to invest, recruit and create jobs. Recruiters remain central to connecting people to work, helping employers respond to changing labour market demands and supporting workforce participation across the economy.

A key example of this need for employer confidence is in proposals around Guaranteed Hours. These proposals risk weakening the flexibility that supports temporary and seasonal work, potentially reducing job opportunities and labour market participation at a time when employers continue to face skills shortages and rising cost pressures. These concerns are especially acute when considered alongside wider changes under the Employment Rights Act and the cumulative burden of increased employment costs.

The REC will continue to engage closely with government departments, Ministers and policymakers on the implementation of these proposals and to ensure the voice of the recruitment industry is heard. Members should look out for further blogs, newsletters and upcoming events as more detail emerges in the months ahead.