Monday, June 17, 2024 5:01 AM
London is driving a surge in UK fintech recruitment this year, data shared exclusively with City AM shows how startups are pushing for rapid growth amid a recovery in investment after a few rough years.
Fintech is the top-performing category within UK financial services for job vacancies in 2024, according to a report by recruiter Morgan McKinley and data firm Vacancysoft.
It predicts that if the current pace of hiring continues, fintech job openings will be 37 percent higher in 2024 than in 2023.
The capital leads the way with a 61 percent year-on-year jump in fintech vacancies between January and April.
IT was the largest area of ​​recruitment, accounting for 41 percent of job openings. Two-thirds (67 per cent) of these openings were established in London, the capital’s highest proportion in five years.
Technology roles saw a 41% increase in vacancies, driven by development and engineering. Meanwhile, IT security hiring slowed, with an eight percent increase.
London also reported an 87 percent increase in risk and compliance. Nationally, these vacancies will increase by 43 percent this year.
The report named Fidelity National Information Services (FIS), Starling Bank, Deel and Checkout.com as the companies with the most vacancies this year.
The data comes as fintechs are eyeing a funding recovery in 2024 after an interest-rate-induced drop in investment in the previous two years.
The UK was hit particularly hard, a stifling 2023 with investment in the country’s fintech sector falling by more than a third on the previous year, KPMG data shows.
However, the first three months of 2024 saw fintech companies reclaim the top spot in UK start-up investment after raising $1.4bn (£1.1bn) in funding across 73 rounds, according to Dealroom and HSBC.
The biggest deals saw digital bank Monzo raise $610m (£490m) in new funding this year, and savings platform Flagstone secured £108m of US private equity. Both companies are based in London.
“As we sail into 2024, the fintech sector is experiencing dynamic changes in recruitment, driven by technological advances, regulatory changes and evolving consumer behaviour,” said Victoria Walmsley, managing director of Morgan McKinley.
“Companies are looking for expertise in artificial intelligence, machine learning and data analytics, along with compliance and risk management. The constant pressure on digital banking and increased cyber security threats are key drivers of these trends.
“Going forward, emerging technologies such as blockchain and the Internet of Things will drive further demand for specialized talent. The fintech sector is poised for continued growth with opportunities for remote and internationally diverse talent.