The UK job market is showing signs of improvement, with increases in permanent and temporary appointments according to the latest recruitment research.

The report by KPMG and the Recruitment and Employment Confederation reveals August was the first month that jobs growth was reported in permanent positions for 17 months, and vacancies were slowing.

'This is the first time we have seen really positive news for the UK jobs market in 17 months. However, it is too early to speculate whether this signals the end of the recession,' said Bernard Brown, partner and head of business services at KPMG.

Although employment is marginally increasing, recruitment agencies found that pay rates are continuing to decline, but are at the slowest in ten months.