THE VAST majority of finance firms say the wall of regulation hitting the sector is driving up costs and inhibiting growth, a study from Robert Half shows today.
A total of 91 per cent of firms said red tape is slowing their growth, with 38 per cent citing capital adequacy requirements as a factor particularly sapping their resources.
And 56 per cent of executives said they are hiring permanent staff to deal with the new regulations.
As a result, heads of anti-money laundering programmes and know-your-customer initiatives can now earn base salaries of between £95,500 and £195,500, the recruitment firm said. And regulatory accounting managers can expect to receive between £83,250 and £119,750.
“The financial services sector is one of the UK’s most important industries and its recovery is a barometer of economic resurgence – so it’s good to note the return of confidence and expectations for growth and profitability amongst senior financial executives,” said Robert Half’s Neil Owen. However, “balancing both commercial and compliance priorities will be further challenged by the shortage of skilled professionals as companies raise salaries and benefits in attempts to attract the industry’s top talent.”