Fresh figures show that the financial jobs market in London is heating up, with new job vacancies rising by 82 per cent in May from 12 months earlier and salaries rising by 9 per cent on the previous month, according to Morgan McKinley, the executive search firm

The statistics are not broken down into separate sectors such as wealth management but anecdotal evidence, according to conversations this correspondent has had with the industry, suggests that the war for private banker talent has become more intense.

The number of new professionals entering the London financial services employment market in May fell slightly by 2 per cent compared to April.  Compared to May last year, the number of new professionals looking for roles rose by 41 per cent.

“Overall, the market is improving with some ups and downs along the way, which is always going to be the case as recovery continues. May City hiring activity shows a gradual upward trajectory despite the distractions of a change in government and the continuing Eurozone issues in that month,” said Andrew Evans, managing director of Morgan McKinley’s financial services division.

Salaries for professionals securing jobs in the financial services sector in May were higher than in April, with the average salary increasing by 9 per cent to ₤55,353 (around $82,000).  Compared to the same time last year, the average salary in this sector was 12 per cent higher in May 2010 with increases at all job levels.

“There has been particularly strong demand in change management, risk, compliance and finance roles as financial institutions address their changing operational and resource requirements following the cutbacks during the downturn,” Evans said.

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