BREXIT FALLOUT: City jobs in London tumble 12% in July

The number of new available jobs in the the UK’s financial centre fell 12% from June to July to just under 8,000, according to a survey by Morgan McKinley.

Year-on-year the number of City jobs plunged 27% while the number of people seeking them dropped 13%, the report said.

Those who did find new jobs got an average of a 16% pay rise.

“Hiring slowed as institutions found themselves in a post-Brexit limbo, but the impact of the referendum was not as aggressive as we expected”, said Hakan Enver, operations director at Morgan McKinley Financial Services.

Here’s the chart:

While there is still uncertainty over the future of London as a financial centre, Enver said a sudden exodus is unlikely to happen.

“An exodus would require individual businesses to potentially relocate thousands of employees, which simply isn’t logistically or financially feasible,” said Enver. “Up to a million Londoners work in the financial sector. Only a small portion of them have the flexibility to up and move to a new country, and no other region can compete with the quantity and calibre of financial professionals.”

This hasn’t stopped London commercial property investors becoming nervous.

On Tuesday, property group Savills said earnings on commercial transactions plunged 23% in the six months to June 30, as investors waited for the outcome of the June 23 referendum.

“In Central London, many of the hitherto significant buyers (Sovereign Wealth, International Private Equity) elected to remain largely on the sidelines during this period, which opened the way for Private Wealth from areas such as the Middle East to transact,” Savills said.

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