So I applied to do engineering, changed to physics early on at uni, and then realised maybe two years later that I should probably have stuck with engineering. I now have a bachelor's degree in physics. I know where you're coming from. I'd say in some respects it depends how practical you want to be: physics degrees can end up being painfully theoretical - but very mathsy, so eh, swings and roundabouts? In terms of job prospects, I don't know the stats - it may well be that engineers do better, but I don't think physicists do so bad either, especially from good universities. Limited sample size, I know, but I've only got a bachelor's degree and I walked straight into my dream job, and of the people I know with bachelor's degrees, I think those that wanted to go into employment have done so. As for PhDs, I'd say take one thing at a time! If you want to go down the academic route with a PhD, then it's certainly very competitive, but PhDs in physics can also serve as a good springboard to go into industry - although I wonder if you might end up being "overqualified" if you decided to change direction completely after doing a PhD. Obviously also depends what the PhD is in - a PhD in particle theory is going to have limited applicability outside academic physics, whereas a PhD in condensed matter physics could be very useful in industry.