London is driving a surge in UK fintech recruitment this year, data shared exclusively with City A.M. shows, as start-ups push for rapid growth amid a rebound in investment after a rough couple of years.
Fintech is the top performing category within UK financial services for job openings in 2024, according to a report by recruiter Morgan McKinley and data firm Vacancysoft.
It forecast that if the current pace of recruitment continues, the number of fintech vacancies will be 37 per cent higher in 2024 than 2023.
The capital is leading the way, with a 61 per cent year-on-year jump in fintech job openings between January and April.
IT was the single largest area of recruitment, making up 41 per cent of the vacancies. Two-thirds (67 per cent) of these openings were based in London, the capital’s highest share in five years.
Technology roles saw a 41 per cent uplift in vacancies, driven by development and engineering. IT security recruitment has slowed, meanwhile, with an eight per cent increase.
London also posted an 87 per cent rise in risk and compliance openings. Nationwide, these vacancies are on track to grow 43 per cent this year.
The report named Fidelity National Information Services (FIS), Starling Bank, Deel and Checkout.com as the firms with the most vacancies so far this year.
The figures come as fintechs eye a funding rebound in 2024 after an interest rate-fuelled drop-off in investment over the previous two years.
The UK has been hit particularly hard, with a torrid 2023 that saw investment in the country’s fintech sector drop more than a third from the previous year, data from KPMG shows.
However, the first three months of 2024 saw fintech companies retake the top spot for UK start-up investment after raising $1.4bn (£1.1bn) in funding across 73 rounds, according to Dealroom and HSBC.
The biggest deals have seen digital bank Monzo land $610m (£490m) in new funding this year and savings platform Flagstone secure £108m from US private equity. Both firms are based in London.
“As we navigate through 2024, the fintech sector is experiencing dynamic shifts in recruitment, driven by technological advancements, regulatory changes and evolving consumer behaviours,” said Victoria Walmsley, a managing director at Morgan McKinley.
“Companies seek expertise in AI, machine learning, and data analytics, along with compliance and risk management. The continuous push towards digital banking and heightened cybersecurity threats are key drivers of these trends.
“Looking ahead, emerging technologies like blockchain and the internet of things will drive further demand for specialised talent. The fintech sector is poised for sustained growth, with opportunities for remote and internationally diverse talent.”