THE number of vacancies has fallen for the second month in a row as companies focus on improving the skills of their existing workers, according to a new report.

Advertised vacancies fell by more than seven per cent to just over a million in January, said jobs site Adzuna.

There were 165,000 fewer jobs on offer in January than last November amid announcements of big cuts in manufacturing and finance, it was found.

Doug Monro, co-founder of Adzuna, said: “January’s jobs market has failed to take flight. The normal rhythm of hiring hasn’t happened. Vacancy levels are down and job competition is getting tougher.

"Fewer options for those looking for new jobs is putting pressure on career plans.

“Hiring habits are changing in a sign of potential instability and employers are retaining their best workers for longer.”

Mr Monro said talk of the UK leaving the European Union was fuelling uncertainty.

“A potential Brexit brings new unknowns into the jobs market. Politicians are at risk of fuelling uncertainty fears and only increasing doubts.

“By doing so they’re risking a weaker jobs market. It’s a dangerous game to play. Thousands of employers and employees are already on edge. This lack of consensus is causing understandable concern for many companies.

“Business expansions are put on hold as a result."

EU languages are still in high demand throughout the UK and whichever road the referendum takes us down, this is sure to remain so.”

Adzuna said there were more than 35,000 vacancies for applicants who can speak another language, especially in computing, teaching or sales.

Advertised salaries increased slightly in January.