City vacancies down almost a third in November

The winter might have started relatively mild in London, but the City job market cooled significantly in November according to a survey out on Thursday.

The London Employment Monitor survey, commissioned by recruitment firm Morgan McKinley, showed vacancies in London's financial sectors dipped 32% in November to 6,405. The number of jobseekers also dropped, though by a smaller margin - 27% to 10,492.

"We normally see a drop mid-way through December as people prepare for Christmas, but it seems that this drop has come early", said Morgan McKinley operations director Hakan Enver.

The survey did point out that it only took into account the London jobs market, however, with many firms choosing to move their middle and back office operations outside of the capital.

"Employers are going rural, which makes sense from a cost and a recruitment point of view. Many empployees are being priced out of London and the cost of living and quality of life, particularly for those with children, can be highly attractive outside the square mile", said Enver.

Some big name firms were culling headcount altogether, though, with Credit Suisse, Deutsche Bank and Morgan Stanley reducing their staff numbers in both London and regional hubs, partially as a response to increased regulatory requirements for lenders to increase their funds held in case of losses.

Looking forward, a theme impacting the hiring intentions of city firms in the survey was Westminster's planned restrictions for foreign workers. Enver said the UK's financial industry was a global one in nature.

"There is a continuous demand for international talent that often cannot be sourced from within the UK. The discussed visa restrictions are a real threat to the UK's competitiveness."