The recruitment industry will be watching what direction the new Liberal Democrat-Conservative coalition takes.

David Cameron is now leading a new Liberal Democrat-Conservative coalition government with Nick Clegg as his deputy following the resignation of Labour leader Gordon Brown.

The two leaders are expected to take the country in a different direction by coming up with major policy changes that could significantly affect the recruitment industry.

People planning to set up a recruitment agency will be glad to hear that business leaders have largely welcomed the new government, with David Frost, director general of the British Chambers of Commerce, saying it will be judged "on the basis of what it does to promote business recovery".

Richard Lambert, director general of the Confederation for British Industry, also welcomed the new administration, saying the business sector is eager to see a stable government.

The recruitment industry will be keeping an eye on the government over the next few weeks to see what kind of policies it puts in place to tackle the nation's economic woes.

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