Outlook improves for finance jobs in the UK

City hiring managers are positive about banking and finance jobs this year. A study by consultancy firm Morgan McKinley found that over 80% of employers expect to recruit more staff before the end of the first quarter. 

"This insight from our survey provides a far more positive outlook for the financial services employment market in 2010 compared to this time last year; and indicates that there is likely to be an upward trend in job vacancies throughout Q1 and potentially beyond,” said Andrew Evans, a managing director at Morgan McKinley.

With vacancies on the rise, however, there seems to be a shortage of talented finance professionals in the UK.

In fact, more than half of the employers surveyed said they were struggling to source candidates with the right skill sets. A further 45.2% said the threat of competitors poaching staff was a key concern for 2010.

On the subject of pay and rewards, 45% of those surveyed thought that the new 50% tax on bonuses would hinder their chances of attracting top financial talent.

A related study has highlighted another obstacle: financial services pay in the UK is expected to remain static this year.

A survey by Big Four firm PricewaterhouseCoopers found that FTSE executives received below-average pay rises in 2009. While the UK average stood at 2.5%; FTSE 100 executives only received a 1% increase, reports Reuters.