This has reduced recruitment in these areas, leaving only very senior positions at London headquarters. As a result, many professionals are looking to transition into new growth areas of finance, such as regulatory reporting and management accounting, which remain in the capital.
Regulatory reporting is seeing increased recruitment demand as banks implement regulatory changes. The implementation of COREP, Pillar II and re-evaluation of Capital & Liquidity Adequacy reports have driven banks to hire professionals from risk backgrounds who understand liquidity risk and stress testing, or compliance professionals with experience implementing new regulatory requirements with minimal disruption.
Within investment management, regulatory change will be more proactive across the buy-side sector. To date, the industry has not endured the same level of regulatory scrutiny as banking, but regulators are increasingly shifting their attention to the investment management industry. Regulatory reporting accountants with specific industry experience are therefore in demand and this is expected to continue.
There has been fairly consistent salary growth. Many financial services companies and top-tier banks are offering up to a 15% uplift on previous basic salaries. The greater demands within regulatory reporting mean that we are now seeing salaries being offered nearer the 20% uplift mark as technical skills are in demand.
The growth of financial technology and the more relaxed hedge fund industry have proved a considerable draw to recent graduates. To combat this, it’s becoming common for candidates to be offered over 27 days’ holiday from the start of their employment. Remote working options and condensed working weeks are also being offered to compete with the flexibility of other organisations.