Umbrella Company employees specialising in financial services may be tempted to move to the north of England in the light of new figures from specialist recruiter BrightPool. The figures reveal that vacancies in the sector are growing faster than in London and the southeast, which are the traditional hubs for financial services jobs and contracts.
Financial institutions are moving more back- and middle-office roles out of London to the northern regions faster than ever before. The primary motivation, according to BrightPool managing director Angela Hickmore, is the drive to improve cost-to-income ratios.
Liverpool, for example, saw a spectacular surge of 49% in the number of advertised financial services vacancies between 2012, when the total stood at 730 vacancies, and the third quarter of 2014, when the total reached 1,088. Similar hikes over the same interval were seen by York (up 43% from 980 to 1,406) and Manchester (up 41%). Leeds also saw a significant rise of 28%.
Over the same period, jobs and contracts in London shrank by 4% from 19,888 to 19,011; however, the London contraction was dwarfed by the precipitous fall in vacancies advertised in Scotland. Edinburgh, for example, saw a nosedive of 20%, which is a problem almost certainly caused by the uncertainty surrounding the referendum on Scottish independence.
Ms Hickmore said: “There are big savings to be made in both property and staff costs. Financial services employment growth in the regions is rapidly outpacing that of London – that is a clear reversal of the trend before the credit crunch when higher returns on capital meant staff costs were not such a concern.”