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Top university degrees lose sway as tech employers prioritise job-ready skills

June 29, 2025
in Investing
Top university degrees lose sway as tech employers prioritise job-ready skills

Elite academic credentials are losing their dominance in graduate recruitment, as UK tech employers place growing emphasis on practical and interpersonal skills when hiring for entry-level roles.

According to new research from tech talent specialist mthree, 39% of hiring leaders now view graduates from all universities equally — a sharp increase from just 23% last year. The findings point to a significant shift away from traditional prestige-based hiring models, as companies focus on sourcing candidates who can contribute from day one.

The Diversity in Tech report, based on a survey of senior IT decision-makers across medium and large enterprises, highlights a widening disconnect between academic backgrounds and workplace readiness. While a degree is still widely seen as valuable, the specific institution attended is no longer the differentiating factor it once was — particularly in a sector grappling with rapid innovation and a growing digital skills gap.

The report reveals a dual concern among employers: nearly two-thirds (61%) say they face a significant shortage of specific technical skills, up from 41% a year ago, while 31% cite a lack of soft skills, including communication and problem-solving, as a barrier to effective onboarding — up from 25%.

These gaps are being exacerbated by the rise of generative AI and the fast-changing tech landscape, prompting firms to look beyond academic pedigree and prioritise attributes like adaptability, curiosity, and collaboration.

Alex Headley, CEO of mthree, said: “Employers are increasingly focused on what graduates can deliver from day one. As technological change accelerates across every major industry, the ability to source and develop adaptable, job-ready talent is critical.”

“This research reinforces the need for businesses to adopt skills-first hiring models that help close the gap between education and employment.”

mthree’s hire-train-deploy model is designed to address exactly this issue. The firm identifies high-potential graduates from diverse degree backgrounds, provides them with intensive training in both technical and workplace skills, and places them into roles at global companies.

The model ensures new hires are not only equipped to hit the ground running, but also reflect a broader talent pool — helping companies build more inclusive and resilient teams at a time of growing demand.

As the pressure to modernise recruitment intensifies, the findings suggest that the age of hiring by academic brand alone is giving way to a more inclusive, skills-led approach.

Read the full Diversity in Tech report and find out more at mthree.com/diversity-in-tech-report-2024.

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Top university degrees lose sway as tech employers prioritise job-ready skills

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