UK LinkedIn Workforce Report: How the finance workforce is changing

LinkedIn’s September UK Workforce Report reveals changes to Financial Services workforce, ten years on from the financial crisis, and more than two years on from the Brexit vote.  

The data reveals how regulation, developments in technology and the EU Referendum vote have been key drivers impacting where and how people work in the sector.

This month the report includes the results of an independent ‘Recruiter Sentiment’ survey that gauges UK based in-house and agency recruiters’ confidence in their ability to fill available roles.

Other key insights include:

  • Financial Services hiring more workers from others sectors, responding to regulation and technical change. Automation and regulation have led to changes to job roles in financial services, with sales and customer facing roles in the top five job roles experiencing the biggest decline in  new hires during the past five years, while demand for legal and software job opportunities has increased. A greater share of financial services hires now come from other sectors, notably software and IT services, and Proffesional Services.
  • Emerging technologies are driving demand for new skills, but supply is lacking. In a survey of over 600 HR professionals across the UK, over half (51%) have seen an increase in demand from financial services businesses to hire candidates with Artificial Intelligence (AI) skills over the past five years, a 49% increase in demand for cryptocurrency skills and 46% for blockchain. However, 55% of UK recruiters and hiring managers are struggling to fill rolls, saying there are a greater number of jobs than available candidates with the right skills.
  • Less migration into the UK is leading to a greater share of finance jobs filled by UK educated workers. UK educated workers are taking a larger share of new financial services hires in recent years. The number of new hires in the Financial Services sector educated in the UK is rising, from 76.4% in 2013, compared to 78.6% in 2017.

These insights are drawn from the data of more than 25 million LinkedIn members in the UK, which represents more than 70 percent of the working age population. The data shows the extent to which hiring is increasing or decreasing across the UK, its regions, and industries, and where workers are moving to and from. The report is a tool which is designed to be used by policy makers, business and individuals to support them in making informed economic decisions.

Miles Celic, Chief Executive Officer, TheCityUK, commented on the findings:

“Our industry has long thrived by embracing change and tackling challenges – qualities that have established the UK as one of the world’s leading international financial centres. But we can’t afford to stand still. New technology and digitisation is rapidly changing the industry to the point that the distinction between ‘tech’ firms and other businesses is less and less obvious. This means that more employers are looking for similar skills, vying for candidates already in short supply.

“Being able to attract and retain the most talented people with the right skills from both the UK and overseas is a top priority for leaders across the financial and related professional services industries - and is a key area of focus for the Chancellor's Financial Services Skills Taskforce. It’s also a long-standing UK competitive advantage. It is vital that the UK remains open to global talent and that we continue to develop the talent and skills needed to grow the industry into the future.”

Click here to read the full September LinkedIn UK Workforce Report.

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