According to a study from graduate recruitment engagement platform Pathmotion, half of the leading graduate employers in the UK will reduce their graduate intake if Britain votes to leave the EU.

The study shows that these firms are expected to hire 5,500 graduates in 2016. It also found that if the UK votes to leave the EU, the sectors most at risk of downsizing their graduate intake are Banking & Finance, Retail, Media, Technology and Law. These sectors, together with audit and professional services employ over 50,000 graduates per year.

“The concerns raised by graduates about the effect of a Brexit are now confirmed by employers, who predict a loss of graduate jobs in the UK,” David Rivel, Founder and CEO, PathMotion, said. “British graduates are not protected, despite some employers shifting from EU to British graduates. The survey also reveals that employers are worried at the prospect of losing access to the talent pool that they can already tap into.”

The three main reasons cited for downsizing graduate hires under Brexit are: The impact of Brexit on the economy and therefore on the volume of business; the general uncertainty; and a lower talent pool of EU graduates applying for jobs.

While some firms would increase the hiring of British graduates to compensate for fewer EU graduates, the majority reported they would either apply for work permits to maintain current levels of EU graduates or reduce operations in the UK to manage with fewer graduates. Some firms reported that hiring more Brits for jobs currently held by EU graduates could impact on overall quality.

Of the firms that reported they find employing EU graduates beneficial, key reasons cited include: Languages and other skills to be able to cover global clients, for example for banks and law firms; specific job skills sets, for example in education and health; and the need to be able to tap into a wider talent pool (cited across all sectors).