Today, offshoring firm The Legends Agency has reported a 300% rise in UK roles being offshored to South Africa following the minimum wage hike. The firm says demand is strongest for entry-level sales and business development roles, followed by customer support, administration, executive assistance, design and marketing. It warns that rising employment costs are pushing more UK businesses to offshore jobs, with entry-level roles, often filled by young people, particularly at risk. The findings come as today's Alan Milburn's report warns that the number of young people not in education, employment or training could reach 1.25 million by the early 2030s. Please find the full release below, and do let me know if you need anything further. I'd be happy to set up a call with the firm's Group CEO, Alex Fenton, to discuss the trend in more detail. Best wishes, Annagreta - 07895013602
Minimum Wage Hike Drives British Jobs Overseas
Offshoring firm reports 300% rise in UK roles being offshored after minimum wage hike. 475 firms have hired South African teams over UK-based employees in the past year, mostly for entry-level roles. Warning comes as new report shows number of NEETs could reach 1.25m by 2030.
FOR IMMEDIATE RELEASE
The rise in the UK minimum wage has coincided with a sharp increase in British businesses moving roles offshore, according to London-based offshoring firm The Legends Agency.
The firm, which helps UK companies hire remote teams in South Africa, recorded a 300% increase in offshored roles in April 2026, compared with the same month last year, following the introduction of the latest minimum wage increase.
The strongest demand for offshore hiring is currently in sales and business development, which accounts for 21% of roles, followed by customer support at 12%, administration and executive assistance at 10%, design at 9%, marketing at 7%, finance and accounting at 7%, and technology and engineering at 6%.
The Legends Agency says it is also seeing increased interest from sectors not traditionally associated with offshoring, including legal services, healthcare, and back office construction and hospitality roles.
The firm supports UK businesses with hiring remote teams in South Africa, where salaries and the cost of living are significantly lower, helping companies save close to 50% on employment costs. Its clients range from multinationals to small startups.
The warning comes as the UK unemployment rate stands at 4.9%, with unemployment among young people aged 16 to 24 at 15.8%.
Meanwhile, a new report by Alan Milburn launched today finds the number of NEETs in the UK could hit 1.25m by the early 2030s.
Group CEO of The Legends Agency, Alex Fenton said:
"While I welcome the minimum wage hike, ministers also need to be honest about the pressure it adds to employers already dealing with higher National Insurance, weak growth and AI-driven disruption."
"The danger is that the very roles young people rely on to get a foot on the career ladder - in sales, customer service, admin, marketing and finance - are the roles most likely to move overseas.
"If the Government wants better-paid jobs in Britain, it also has to make it easier and more affordable for businesses to create those jobs here."