Forties People

Accountancy jobs in London

The weak recovery from the financial crisis and the inevitable job losses that may occur due to the measures outlined in the chancellor George Osborne's emergency Budget highlight the challenges facing those looking for accountancy jobs in London.

Mr Osborne's austerity plan is likely to lead to 600,000 public sector job losses by 2016, the Office for Budget responsibility predicts, which is likely to have an impact on the numbers of people searching for accountancy jobs in London.

However, it is not all bad news with regards to accountancy jobs in London, as a new report has highlighted an increasing number of employment opportunities in the sector.

Finance sector leads the way

Green shoots have been few and far between in the financial sector over the last couple of years, but a new survey examining the recruitment strategies of Britain's 100 leading employers suggests that the market for this type of employment in London is returning to health.

According to the Graduate Market in 2010 report from High Fliers, graduate accountancy jobs in London are rebounding from the malaise of the last two years, with a third more vacancies available now than at the same time last year.

The increase in the number of positions in the City is part of an overall improvement in the financial services sector, with investment banks and consultancies taking on more employees.

However, the prospects of securing accountancy jobs in London look brighter than in other financial services.

The report found that firms are receiving an average of 45 applications per position, which rises to more than 270 in some cases.

In the accountancy industry however, there are just 15 applications per position, meaning those looking for accountancy jobs in London face less competition in terms of numbers.

While things are looking up in the private sector, the public sector is facing a tough ride over the coming years, which is expected to have a significant impact on the number of applicants for jobs in the capital.

The public sector problem

The austerity measures outlined in the recent emergency Budget will hit the public sector hard, especially those in account jobs and account manager jobs.

According to recent research by workforce management solutions firm Giant Group, the proportion of accountancy contractors who expect the public sector to create the bulk of accounts jobs fell from 39.5 per cent in the third quarter of 2009 to 26.5 per cent in the first three months of 2010.

Matthew Brown, managing director at the company, said that this does not bode well for those looking for accountancy jobs in London, as public sector staff in these roles will more than likely have to find new employment.

"Demand for accountancy contractors in the public sector, particularly in the Treasury, Financial Services Authority and the Bank of England mushroomed during the banking crisis. With the Treasury now preparing to drop the axe on public spending, contingent staff could be in the firing line," he stated.

Not all bad news

While the future may look bleak for public sector accountancy jobs in London, it is important to look at the bigger picture.

Mr Brown said that while the number of permanent public sector posts in London will decline, interim appointments could very well increase.

"In the long term there could be increased use of accountancy and interim financial controllers to help find efficiency savings which will be central to reducing the deficit," he concluded.

The future

Moving forward, it looks like the economy is in for a bumpy ride at present - but there are some green shoots out there which suggest that the market for accountancy jobs in London is slowly returning to health.