Demand for new workers in London’s finance sector is so high that salaries are rapidly rising. New figures releases have shown that those being offered new jobs in the City are securing salaries 18% higher than the year before.
The numbers have come from the recruitment sector firm Morgan McKinley, who are helping to place people into new jobs. The survey shows that even December, which is usually a quiet time for recruitment, saw over 4,000 new jobs being created, a rise on previous year.
Industries where there was the biggest demand for new workers including compliance and IT as businesses seek to hire staff that can help keep them up to date with both new regulations and technology. As well as the finance sector, the construction sector has also seen a rise in new recruits, especially in skilled labour and among new business start ups in London. New technology hubs across the capital are hiring members of staff as they continue to grow. The renewed confidence in the economy and the City is reflected in this strong growth and desire to expand.
The higher salaries are outstripping those in the east of the UK further illustrating London’s dominance in terms of the economy. It re-emphasises the fact that London is growing and it paves the way for future sustained growth in the capital; attracting new talent bodes well for business and employees that are well recompensed for their work are more likely to spend money and keep the economy ticking over.
The numbers suggest that there is still a real desire for people wanting to come and work in London. Having a skilled workforce is one of the most attractive signs for new global firms looking for places to establish headquarters in the UK and Europe. London needs to ensure that it has the infrastructure in place to meet this surge in terms of both new workers and new businesses.
There needs to be more places for people to live and stay; so places like serviced apartments become increasingly important as new recruits relocate and need a flexible place to live close to where they work while they find a permanent address they can afford. Clarendon works with a lot of different clients who are moving to London to start new jobs and want to stay in a serviced apartment instead of renting straight away. They want to get the lay of the land before they invest.
Similarly improved transport and rail links will need to cope with the increased footfall and demand, making it easier and stress free for people to travel around the capital. There will be a demand for new eateries and restaurants with more people looking to live and work in London.
A bigger working population is good news for the economy. It attracts new businesses and provides a demand for improved investment in both public and private businesses. A healthy economy is one that people, want to move to so they can benefit and London is definitely moving in the right direction.