Up to 90,000 banking, legal and accountancy jobs based in London are forecast to move to other parts of the country over the next five years, bringing an estimated £9 billion boost to regional economies including Manchester, Birmingham and Leeds, according to analysis by Robert Walters, the listed recruitment company.
The recruiter estimates that figure could rise to £15 billion once the spending of relocated workers in their new home towns, and the extra work generated for local supply chains, is taken into account.
Robert Walters said more companies were looking to move some of their teams out of London because of the cost of running a business in the capital, where a shortage of prime office space has pushed rents to record highs.
The 90,000 roles represent 2.5 per cent of London’s overall workforce. Robert Walters predicts that up to 12,000 jobs will have moved out of the capital by the end of 2027, rising to 45,000 by 2029. Senior leadership teams are expected to remain in London, with companies instead bolstering junior ranks with local talent.
“Our forecast indicates a rebalancing of the scales towards stronger regional jobs growth over a widespread shift of business activity away from London,” said Jonny Bohane, of Robert Walters’ market intelligence team.
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