Raymond Doherty 13 Aug 2018 04:31pm

City job vacancies plummet 40%

The hot summer and increasing wages has the UK’s financial services workers looking for new jobs

As a result, jobs in the City decreased by 16% month-on-month, and by 41% year-on-year, according to Morgan McKinley’s London Employment Monitor.

In addition, average salaries rose by 17% month-on-month.

This is despite investment into the UK sector falling 26%, with Germany and France demonstrating an increase in FDI investment during the same time frame.

Financial services, however, remains confident, according to managing director of Morgan McKinley Financial Services, Hakan Enver. “We’re being bombarded with calls from clients looking to carry on hiring within middle and back office functions within the City”.

What Brexit will mean for the UK financial sector remains unclear as negotiations have stalled. Last month, the EU chief negotiator Michel Barnier dismissed the UK’s offer for a deal on financial services contained in prime minister Theresa May’s white paper.

Enver is bullish despite the uncertainty. “Rejection of a reasonable and mutually beneficial proposal suggests that Brussels is trying to weaken London’s status as the most international and influential financial services city in Europe. But the City was both those things before the EU, and it will remain so after the EU.”

The sector’s health is central to the government’s tax take. Today it was revealed it paid over one quarter (27%) of all UK corporation tax last year.