Monday, June 17, 2024 5:01 am
London is driving a surge in UK fintech recruitment this year, with data being shared exclusively City AM evidenced by the fact that start-ups are pushing for rapid growth, while investments are picking up again after a few difficult years.
Fintech will be the best-performing category within UK financial services in terms of vacancies in 2024, according to a report from recruiter Morgan McKinley and data firm Vacancysoft.
It predicts that if current hiring rates continue, the number of fintech job openings in 2024 will be 37 percent higher than in 2023.
The capital is leading the way, with a 61 percent year-on-year increase in fintech vacancies between January and April.
IT was the largest recruitment area, accounting for 41 percent of vacancies. Two-thirds (67 percent) of these vacancies were in London, the highest share in the capital in five years.
In technological positions, the number of vacancies increased by 41 percent, driven by development and engineering. Recruitment for IT security, meanwhile, has slowed, with an increase of eight percent.
London also recorded an 87 percent increase in risk and compliance openings. Nationally, these vacancies are expected to grow by 43 percent this year.
The report names Fidelity National Information Services (FIS), Starling Bank, Deel and Checkout.com as the companies with the most vacancies so far this year.
The figures come as fintechs expect a recovery in funding in 2024, following an interest-rate-fueled decline in investment over the past two years.
Britain has been hit particularly hard, with a torrid 2023 seeing investment in the country’s fintech sector fall by more than a third from the previous year, KPMG data shows.
However, according to Dealroom and HSBC, fintech companies have regained the top spot in UK start-up investment in the first three months of 2024, after raising $1.4 billion (£1.1 billion) in funding across 73 funding rounds fetched.
The biggest deals have seen digital bank Monzo raise $610 million ($490 million) in new funding this year and savings platform Flagstone secure £108 million from US private equity. Both companies are based in London.
“As we navigate 2024, the fintech sector is experiencing dynamic shifts in recruitment, driven by technological advances, regulatory changes and evolving consumer behavior,” said Victoria Walmsley, managing director at Morgan McKinley.
“Companies are looking for expertise in AI, machine learning and data analytics, in addition to compliance and risk management. The continued push for digital banking and increased cybersecurity threats are key drivers of these trends.
“Looking ahead, emerging technologies such as blockchain and the Internet of Things will further drive demand for specialist talent. The fintech sector is poised for sustainable growth, with opportunities for remote and internationally diverse talent.”