Startups.co.uk Report Reveals: 64% of Employers Will Favour Soft Skills Over Hard Skills This Year

LONDON, April 23, 2025 /PRNewswire/ -- Startups.co.uk's 2025 Workforce Report has revealed that over half (64%) of UK employers plan to prioritise soft skills over hard skills when hiring this year.

This finding highlights a demand for candidates with emotional and communicative skills for the year ahead.

Industries most likely to favour candidates with soft skills:

Technology & Software - 74%
Finance & Fintech - 66%
Hospitality & Tourism - 62%
Manufacturing & Engineering - 61%
Consulting & Services - 61%
E-commerce & Retail - 61%
Healthcare & Life Sciences - 60%

Tech & Finance businesses most likely to prioritise soft skills

Businesses in the Technology & Software sector are most likely to favour soft skills over hard skills when hiring new staff, with 74% of leaders in this sector saying they'd favour soft skills. 

According to Startup.co.uk's findings, Finance & Fintech firms fall close behind, with a 66% likelihood score.

This data suggests that even more technical industries which would typically rely more heavily on methodical approaches to work, are shifting focus towards interpersonal skills and emotional intelligence.

Older firms are more likely to favour soft skills

The report also shows that older UK businesses are more likely to hire candidates for their soft rather than hard skills.

Young firms that are just one year old, are only 48% likely to prioritise soft skills when hiring, the lowest figure across all business ages.

In comparison, companies that have already been established for four years are 65% likely to employ soft skills over hard.

Likelihood to hire for soft skills, by business age:

4 years old = 65% likely
3 years old = 67% likely
2 years old = 69% likely
1 year old = 48% likely

Editor of Startups.co.uk, Zohra Huda, comments: 

"In 2025, business technology is changing daily and if you are a young startup and you aren't onboard the training train, you're considered past it. But our Workforce Report reveals that narrative flips with scaling companies who need communicators, team managers and delegators not just technical specialists to support their growth."

Additional information: 

• The Startups.co.uk survey data was collected between 1st and 8th October 2024 
•  The sample size was 531 of which respondents were owners, presidents, executives, at companies that were less than 5 years old