Contract Recruitment Index highlights
- Overall vacancies up 10% month-on-month
- Private sector jobs increase by 23% with property boom driving demand
- Public sector opportunities up 3% as NHS brings in senior talent to slash spending
- Rates remain stable
Private sector opportunities up as businesses invest in tech talent
The July 2015 London Recruitment Index registered a 10% month-on-month increase in job availability, with 7,190 vacancies, compared to 6,522 recorded in June 2015. Much of this activity can be attributed to opportunities created by a booming housing market and there has been particular requirement for residential conveying locums to manage increased demand from homebuyers.
This activity is in line with wider reports of buoyancy in the property sector with Nationwide reporting that the pace of increase in UK house prices accelerated in July, rising by 3.5% compared with a year earlier. This demand is mirrored in the rates that professionals in this area are currently commanding, with property solicitors earning in excess of £400 a day.
Jodie Finn, Director at Venn Group, commented:
“Greater economic confidence, recent stamp duty reforms, and government initiatives to assist homebuyers, have all contributed to increased demand for housing stock across the Capital and beyond. As a result legal professionals have been sought after in and around London which has pushed up rates across the board.”
“And with research by estate agent Knight Frank revealing that London accounted for 13% of all UK property transactions for the first three months of 2015, and almost half (46.9%) of total stamp duty revenues, it’s no surprise that there is an increase in demand in the region.
“Elsewhere we also saw an increase in requirements for HR professionals within private sector organisations across the Capital, which is perhaps indicative of wider positivity and a sign of future hiring activity.”
Public sector opportunities up 3% as Trusts invest in efficiencies
Demand for contract professionals within the public sector rose by 3% in July as Trusts and Clinical Commissioning groups brought in senior level strategists in efforts to address ‘unaffordable’ financial plans.
Faced simultaneously with increasing demand and a deficit of more than £2 billion for 2015-16, the NHS is bringing on board financial experts at top level on a project basis to determine where savings can be made. There is particular demand for heads of transactions, senior internal auditors and financial directors.
Finn continues:
“It’s no secret that the NHS continues to face financial difficulties, and Health service regulator Monitor’s most recent recommendation that trusts should only fill ‘essential’ vacancies, and look very closely at where other savings can be made, has been met with concern by trust managers.
“Trusts are seeking to get their hands on procurement, recruitment and HR experts who can identify areas where costs can be slashed. In order to fully implement the Agenda for Change 2013 agreement on staff pay progression, trusts are also specifically looking for HR data analysts to ensure the right IT infrastructure is in place to manage workforces strategically.”
Rates remain stable
There was an overall average rate increase for contractors securing new assignments in July 2015 of 1% with professionals now commanding an average day rate of £282.