Beth Ashmead -Latham 26 Jul 2018 01:27pm

Fear of Brexit talent drain is costing UK business

Banking and financial services are the sectors most under pressure from skills shortages due to Brexit

A survey of 1,000 HR directors by law firm Migrate UK revealed that 86% of banking and 83% of financial service firms are having difficulty recruiting, according to reports.

Moreover, since Brexit six in 10 companies have reportedly paid European staff additional incentives to remain in their employment.

With around 40% of companies reporting that their EU workers have left for European countries, the offered incentives to stay are thought to range from bigger bonuses for European employees, to paying for accommodation, increased holidays, company car schemes, increased salaries, private school fees for families, medical insurance, and the bill for permanent residency or nationality.

These extra benefits are reported to amount to between £50,000 and £100,000 for a fifth of companies, and over £100,000 for 1%.

Migrate Uk’s immigration analyst, Karendeep Kaur said, “With the growing uncertainty, stability has been impacted. Companies are being forced to provide incentives and bow to the demands of their workforce in order to retain talent, which they cannot afford to lose

“Certain sectors will begin to diminish” if the government cannot provide more clarity soon, she added. “As they cannot afford the extra costs the business is having to pay out to keep their workforce.”