The combination of a talent shortage and the rapid growth of the fintech industry in the UK is pushing up salaries by as much as 25%.
This is according to a report from recruitment company Robert Walters. It also said fintechs are using venture capital funds to offer high salaries. Salaries at fintechs that are not backed by venture capital funds were 20% less than those at venture capital backed fintechs.
The top paying IT jobs in fintechs are unsurprisingly chief technology officers, with those working in venture capital backed fintechs earning on average £100,000 a year, compare to £85,000 a year for CTOs at SME fintechs not backed by VC funds.
But more of a surprise is the fact that the report shows that CTOs are the highest earners of all at fintechs. For example the role of head of sales at VC backed fintechs commands £90,000 a year on average, chief financial officers take home £90,000, head of marketing £75,000, head of compliance £75,000, and HR director £80,00
Danika Jarmer, director – strategic accounts at Robert Walters VC funding is acting as a game changer when it comes to attractive job offers.
“As an increasing number of fintechs gain backing, capital is becoming less of a constraint and so firms can afford to offer inflated salaries in order to secure the best talent.”
When it comes to IT roles within fintech demand has slowed. As these companies mature and their tech platforms have been developed they are looking for skills in other areas, like sales, marketing, and compliance. It said there is also a recruitment drive at fintechs to help prepare for Brexit.
The report said that in 2017 IT vacancies absorbed half of the fintech hiring market but in 2018 it only accounted for 7% in 2018.
Ahsan Iqbal, director of technology recruitment at Robert Walters said IT professionals in fintech are receiving good pay rises.
“With 42% of roles in fintech dedicated to IT, we’re seeing on average 8% year-on-year salary growth for IT,” said Iqbal.