Graduate salaries in Oxfordshire have risen by 5.5 per cent over the past year -- almost double the national average.

Figures released by the higher education Careers Service Unit (CSU) highlight the competition among employers to secure the brightest graduates.

However, it is not all good news for Oxfordshire students.

In its Graduate Market Trends report, the CSU claims vacancies for graduates have fallen by 31.5 per cent -- six percentage points higher than the average fall of 25 per cent, across the country.

The figures, which compare vacancies up to September 2001, are expected to fall further as a result of the economic downturn following the September 11 terrorist attacks.

However, after London, the region still has the highest number of jobs on offer in the UK, with more than 15 per cent of all the country's vacancies.

The highest salaries are offered in the fields of information technology, human resources and management consultancy -- which offered average salaries of more than £19,500.

The highest salary increase was seen in information and scientific services, which saw rises of more than 11 per cent. The greatest number of vacancies over the past year was in finance, which accounted for more than 17 per cent of the total.

Unemployment among graduates stands at around five per cent -- its lowest level ever.

CSU chief executive Mike Hill said: "Graduates have enjoyed unprecedented career opportunities and salary levels in recent years, but the immediate future looks less rosy as far as vacancies are concerned.

"As things stand at the moment, however, it appears that a degree in any subject will still open doors."

But he added: "Unemployment will increase in the short term and graduates with relevant work experience who can demonstrate initiative and achieve good grades will have the edge when it comes to job applications."

Paul Brown, the assistant director of Oxford University Careers Service, said: "We certainly welcome the findings.

"It's a good thing for graduates that salaries are going up. Plenty of graduates leave with debt and need to pay it off as soon as possible."

A spokesman for Oxford Brookes University said: "The higher salaries reflect the high cost of living in this area. However, Oxford Brookes graduates exhibit high employability, and organisations employing our graduates have commented that they are bring in skills essential to their workplace.

"Over 80 per cent of our students manage to find work within six months."