FinTech is one of the world’s fastest growing and in-demand industries with a record-breaking investment of £16 billion in 2018. With 60% of people using online banking tools it’s no wonder new FinTech start-ups are emerging every day. The industry is growing at an accelerated speed. There are currently 76,500 employees’ in the UK FinTech Industry, which is set to rise to 100,000 by 2030. With these exciting figures, why is the FinTech industry feeling the pressure more than others and struggling to attract new, fresh talent?
The FinTech Revolution is rising, but what about the recruitment?
Whilst the UK has strong talent in financial services, market research has found we are lacking depth of tech and business skills. Especially so, when compared to other leading tech hubs such as America and Israel. The UK has little to no educational support or online courses for the FinTech industry. This has resulted in employers looking elsewhere and according to a Raconteur Report, 42% of Fintech workers are from overseas . The only solution here is to start adding to our standard curriculum. The UK needs to inspire students at a young age to look at this industry. We need greater collaboration between the education system and employers to bond and form relevant training programs that can evolve into FinTech careers.
It is sad to say FinTech is also currently less diverse in gender than what would have been expected of an advanced, innovative industry. Only 29% of staff are women which is a dramatic difference to the UK’s Financial Services industry which was made up of 46% women in 2018.
The FinTech industry does however offer a collection of benefits that are typically attractive to working women. These include remote working and flexi-time, but is this a result of the UK’s lack of FinTech educational support?
With Brexit recently coming into action and the uncertainty of employer’s being able to recruit from overseas, FinTech businesses can’t afford to not face the facts. FinTechs should prepare for the worst. They need to find a solution through partnerships with a specialist recruiter who understands the industry and how to source the best talent on the market.
Fintech is a competitive industry and business’ need to be able to attract and retain the best talent.
With the current employment rate in the UK at 3.8%, we have found ourselves in a candidate driven market. Candidates have the opportunity to pick and choose the best offers available. FinTech companies need to be able to compete accordingly.
Another problem that has arisen with FinTech Recruitment is London. It has always been a fierce candidate market, however now with a staggering 75% of FinTech companies based in London, its no wonder companies are fighting for candidates. To overcome this problem, FinTech companies need to be prepared to look beyond the M25 and at further locations to source the best talent. Larger FinTech employers have already implemented remote workers. This has been a huge success in the company Stripe. They hired 100 remote engineer’s last year, forming a ‘remote hub’. Stripe have so far found great success in this model and are now looking at expanding their hire’s even more.
Implementing this strategy into Stripe has given them the chance to cast a wider net to find talent that is essential to their business. They would have never had the chance to hire these exceptional workers otherwise.
So what’s in store for the future of FinTech business’ and their recruitment? It’s unclear to say which way the market will go, but it’ll be interesting to see how the industry will revolutionise ways to grow with the demand.