You Will Earn the Most in These Two Financial Technology Sectors, Survey Finds
The
financial technology sector has experienced significant shifts in hiring and
compensation over the past 18 months. While demand for top talent remains high,
the economic landscape and aftermath of widespread layoffs in 2023 have
impacted salary trends on both sides of the Atlantic.
In its
latest edition of the “Financial Technology Salary Survey,”
Harrington Starr examines how salaries have changed across various branches of
the fintech sector at different employment levels, comparing trend shifts in
both the UK and the USA.
UK Fintech Salaries:
Stability Despite Challenges
Fintech
salaries have remained relatively stable in the UK from 2023 to mid-2024.
However, the job market has become more competitive due to an influx of
available candidates.
For the
application support, salaries grew but remained fairly stable overall.
Compensation varies significantly based on the individual’s technical
capabilities and business knowledge. In the software engineering field they stayed
consistent for junior roles, but experienced workers are more open to taking
pay cuts or changing roles. Senior talent prioritizes factors beyond just
salary when evaluating opportunities.
Toby Babb
“Hiring
levels are up at an 18-month high in financial technology and there remains
strong competition for the best talent in the market,” commented Toby Babb, the
CEO and Co-Founder of Harrington Starr. “A strong candidate in most tech
disciplines can expect two to three offers competing for them, which is once again leading to the bidding wars and counter offers that were so commonplace
in 2022.”
Data and
Analytics experienced candidate-short market which has kept compensation
steady. Data scientists and engineers at the senior level can expect salaries
of £70k-£125k, while lead data scientists often command £90k-£125k.
The highest
earnings were reported in the Cyber Security and IT sector. The top salaries
were for the position of Chief Information Security Officer, ranging from £120K
to £300K. This sector also saw the largest increase in employment over the past
12 months, with a growth rate exceeding 30%. The main employment hubs are
London and Bristol, and the industry remains predominantly male, with men
comprising 75% of the workforce.
“Despite a
fairly challenging economic landscape, the cyber market has remained
competitive as there is an ever-need for firms to protect themselves from
increasingly sophisticated cyberattacks and to ensure they meet certain
regulatory requirements,” commented Andrew Nitek, the Associate Vice President of
Information Security at Harrington Starr.
The UK has seen
an overall uptick in hiring activity in 2024, with firms focusing on securing
candidates with strong technical skills and domain expertise. However,
companies are sticking more closely to budget constraints, leaving less room
for negotiation.
KPMG’s report from February also
highlights the challenges faced by the fintech industry in 2023. It reveals that
funding for fintech projects totaled $113.7 billion, down from $196.3 billion
the previous year. The number of deals was the lowest since 2017.
Comparing the UK and USA
resilience,
with base pay remaining stable compared to previous years. Like the
UK, the US job market has become more competitive post-layoffs. However, the US also
experienced difficulties in fintech funding in 2023. According to Tracxn,
funding dropped by 36% to $18.2 billion, reaching its lowest levels since
before the pandemic.
“The last
twelve to eighteen months have been challenging! Big technology layoffs were
rife in 2023, there was a cost-of-living crisis, the world seemed to lurch from
one catastrophe to the next and there was a pervasive and palpable sense of
volatility and uncertainty in the air,” stated Rob Grant, the Chief Operating
Officer at Harrington Starr.
US fintech
salaries are generally higher across most roles, even accounting for currency
conversions. For example, a mid-level software engineer in the USA earns around
$120k-$150k, while the same role in the UK pays £70k-£120k.
The gender
pay gap remains a challenge in both markets, but the disparity seems more
pronounced in the UK. In 2023, the UK’s gender pay gap in financial services
reached its highest level since 2018. Demand for specialized skills, such as
machine learning, AI, and cybersecurity , commands higher salaries in both
countries.
In April, Finance Magnates examined salaries in the FX industry in Cyprus. The study showed a decrease in average pay for Executive Directors from a range of €100-150K in 2023 to €60-140K in the first months of 2024. However, Heads of Compliance saw an increase in maximum salaries, reaching up to €90 thousand this year, compared to €75K previously.
As we move
further into 2024 and beyond, it’s clear that the fintech job market will
continue to evolve. Companies will need to balance attracting top talent with
managing budgets effectively. Candidates, in turn, must showcase their unique
value proposition and remain open to new opportunities.
Despite the
challenges, the outlook for fintech salaries remains optimistic.
The
financial technology sector has experienced significant shifts in hiring and
compensation over the past 18 months. While demand for top talent remains high,
the economic landscape and aftermath of widespread layoffs in 2023 have
impacted salary trends on both sides of the Atlantic.
In its
latest edition of the “Financial Technology Salary Survey,”
Harrington Starr examines how salaries have changed across various branches of
the fintech sector at different employment levels, comparing trend shifts in
both the UK and the USA.
UK Fintech Salaries:
Stability Despite Challenges
Fintech
salaries have remained relatively stable in the UK from 2023 to mid-2024.
However, the job market has become more competitive due to an influx of
available candidates.
For the
application support, salaries grew but remained fairly stable overall.
Compensation varies significantly based on the individual’s technical
capabilities and business knowledge. In the software engineering field they stayed
consistent for junior roles, but experienced workers are more open to taking
pay cuts or changing roles. Senior talent prioritizes factors beyond just
salary when evaluating opportunities.
Toby Babb
“Hiring
levels are up at an 18-month high in financial technology and there remains
strong competition for the best talent in the market,” commented Toby Babb, the
CEO and Co-Founder of Harrington Starr. “A strong candidate in most tech
disciplines can expect two to three offers competing for them, which is once again leading to the bidding wars and counter offers that were so commonplace
in 2022.”
Data and
Analytics experienced candidate-short market which has kept compensation
steady. Data scientists and engineers at the senior level can expect salaries
of £70k-£125k, while lead data scientists often command £90k-£125k.
The highest
earnings were reported in the Cyber Security and IT sector. The top salaries
were for the position of Chief Information Security Officer, ranging from £120K
to £300K. This sector also saw the largest increase in employment over the past
12 months, with a growth rate exceeding 30%. The main employment hubs are
London and Bristol, and the industry remains predominantly male, with men
comprising 75% of the workforce.
“Despite a
fairly challenging economic landscape, the cyber market has remained
competitive as there is an ever-need for firms to protect themselves from
increasingly sophisticated cyberattacks and to ensure they meet certain
regulatory requirements,” commented Andrew Nitek, the Associate Vice President of
Information Security at Harrington Starr.
The UK has seen
an overall uptick in hiring activity in 2024, with firms focusing on securing
candidates with strong technical skills and domain expertise. However,
companies are sticking more closely to budget constraints, leaving less room
for negotiation.
KPMG’s report from February also
highlights the challenges faced by the fintech industry in 2023. It reveals that
funding for fintech projects totaled $113.7 billion, down from $196.3 billion
the previous year. The number of deals was the lowest since 2017.
Comparing the UK and USA
resilience,
with base pay remaining stable compared to previous years. Like the
UK, the US job market has become more competitive post-layoffs. However, the US also
experienced difficulties in fintech funding in 2023. According to Tracxn,
funding dropped by 36% to $18.2 billion, reaching its lowest levels since
before the pandemic.
“The last
twelve to eighteen months have been challenging! Big technology layoffs were
rife in 2023, there was a cost-of-living crisis, the world seemed to lurch from
one catastrophe to the next and there was a pervasive and palpable sense of
volatility and uncertainty in the air,” stated Rob Grant, the Chief Operating
Officer at Harrington Starr.
US fintech
salaries are generally higher across most roles, even accounting for currency
conversions. For example, a mid-level software engineer in the USA earns around
$120k-$150k, while the same role in the UK pays £70k-£120k.
The gender
pay gap remains a challenge in both markets, but the disparity seems more
pronounced in the UK. In 2023, the UK’s gender pay gap in financial services
reached its highest level since 2018. Demand for specialized skills, such as
machine learning, AI, and cybersecurity , commands higher salaries in both
countries.
In April, Finance Magnates examined salaries in the FX industry in Cyprus. The study showed a decrease in average pay for Executive Directors from a range of €100-150K in 2023 to €60-140K in the first months of 2024. However, Heads of Compliance saw an increase in maximum salaries, reaching up to €90 thousand this year, compared to €75K previously.
As we move
further into 2024 and beyond, it’s clear that the fintech job market will
continue to evolve. Companies will need to balance attracting top talent with
managing budgets effectively. Candidates, in turn, must showcase their unique
value proposition and remain open to new opportunities.
Despite the
challenges, the outlook for fintech salaries remains optimistic.
