London Set to Reclaim 48% Share of Banking Vacancies in 2024, Boosting Recruitment
- 8% decline in the number of vacancies in the banking sector across the UK across 2024
- Risk & compliance remains dominant in banking recruitment, despite a 20% drop in jobs
- Greater London set to reclaim 48% share of banking vacancies.
- Goldman Sachs leads recruitment with 89% vacancy increase in 2024
The UK stands out among G8 countries due to its political stability, with the government expected to remain in power for the next five years. As a result, , 2024 could be a pivotal year for UK banking, driven by recent deregulation reforms, stable interest rates, divestment of private equity firms as funds near their five-year mark post-pandemic and the Government’s plan to unlock £75 million, potentially boosting savings by £11,000 per person. In particular, London is forecast to see a 2% rise in banking vacancies, increasing from 46% to 48%, whereas the rest of England and Wales face a 12% decline according to the latest UK labour market trends report by leading professional recruiter Morgan McKinley and market data analysts, Vacancysoft.
Risk & Compliance Lead Banking Recruitment
Since 2022, Risk and Compliance has consistently been the most in-demand area in banking recruitment, and this trend is expected to continue in 2024, with 4,559 vacancies representing 15% of all sector roles, despite a 20% decrease in vacancies. This decline is likely due to increased automation of risk analysis through AI, as many banks adopt new technologies like blockchain for transactions. IT Development & Engineering roles are expected to grow by 9%, reaching nearly 4,000 vacancies as banks integrate these innovations. In contrast, IT management vacancies have fallen by 6%. Overall, the rise in technology driven roles stands in contrast to the 22% decline in commercial banking vacancies, reflecting the sector's evolving needs.
2024 Banking Vacancies: London Recovers as Regional Trends Diverge
Greater London is projected to retain the largest share of banking vacancies in 2024, with an estimated 48%, or 14,964 total vacancies, nearly recovering to 2022 levels after a 3% decline from 2022 to 2023. Edinburgh is expected to hold second place with 1,532 vacancies, although both Edinburgh and Glasgow are projected to see significant drops of 20% and 28%., As a result, Scotland’s share of vacancies is likely to fall from 11% to 9%.
In contrast, Northern Ireland and the Southwest are the only regions expected to see growth, with Northern Ireland up 10% and the Southwest 9%. However, Manchester is set for the sharpest decline, dropping by 46%.
Ross Sailes - Associate Director - Morgan McKinley comments:
“Overall, UK inflation has been gradually decreasing. However, as Bank of England’s economist: Rob Elder referenced at one of our recent events, the central bank has been keeping a keen eye on the stubbornly high wage and services inflation. Recent data has shown that wage inflation is finally subsiding, theoretically paving the way for a number of rate cuts over the coming year. This shift could not only positively impact consumer sentiment but also give a welcome boost to bank balance sheets as their sizable bond portfolios increase in value. Should this materialise, we could see increased investment in projects, expansion plans and emerging technologies such as automation and AI - developments that would significantly benefit the recruitment market.”
“Despite the challenges, there are reasons to be optimistic. The outlook for 2025 points to a gradual recovery, fuelled by London’s continued dominance as Europe’s financial capital, reforms aimed at deregulating the financial industry, and more stable inflation.”
Investment Banks Surge in Vacancies for 2024, While Retail Banks Decline
In 2024, investment-focused banks are expected to see significant vacancy growth. Goldman Sachs is forecasted to have an 89% increase, reaching nearly 600 positions, following the opening of its Birmingham branch. Bank of America is expected to lead with a 119% surge, bringing the total to approximately 344 jobs, while JP Morgan Chase will see an 8% rise, with vacancies reaching 2,714.
In contrast, retail-focused banks like NatWest Group and Nationwide Building Society are predicted to face steep declines, with vacancies dropping by 49% and 48%, respectively. However, Santander stands out, with a 3% increase, due to recent structural changes.
Top 5 Company Table
Top Companies, Banking Sector, UK, 2022-24 (Jan-Aug) (see report for Top 20)
| 2022 | 2023 | 2024 (Jan-Aug) | |
|---|---|---|---|
| J P Morgan Chase and Co | 5286 | 2507 | 1809 |
| Lloyds Banking Group | 1961 | 1918 | 1172 |
| Nationwide Building Society | 4212 | 3010 | 1041 |
| Barclays | 6574 | 3015 | 968 |
| HSBC | 1795 | 1399 | 781 |
ENDS
For more information, contact Sharmee Mavadia on sharmee.mavadia@morganmckinley.co.uk or Anastasiia Bohush on anastasiia.bohush@vacancysoft.com or number 442038384120
NOTES TO EDITORS
To download the report on Banking 2024 by Morgan McKinley and Vacancysoft, click here.
- The data contained within the report is gathered solely and specifically from the career pages of company websites, not job boards.
- Before publication, job postings are de-duplicated and verified as unique. Every vacancy is assigned up to 20 data points through Vacancysoft’s proprietary algorithm, which is double-checked for validity by a data quality control team.
About Morgan McKinley
Morgan McKinley is a global talent services expert, offering the full spectrum of solutions to meet employers’ and jobseekers’ needs. With 19 offices in 10 countries and nearly 1000 employees, it provides 3 distinct solutions for customers. Morgan McKinley Recruitment Solutions encompassing deep expertise across 10 professional disciplines offering temporary, contract and permanent recruitment; Morgan McKinley Executive Search for targeted C-Suite talent searches; and Morgan McKinley Talent Solutions including RPO, MSP, Project Recruitment and more.
Morgan McKinley is part of Org Group, a more human kind of professional services company that harnesses the power of talent to bring better business outcomes for clients across the world through advisory, managed services and talent services.
About Vacancysoft
Vacancysoft is the UK's leading provider of labour market data and analytics. We provide high-grade lead generation, client intelligence and market analysis solutions for Britain's top recruitment industry firms and others.
For more information, visit vacancysoft.com.
