Demand for data, AI and tech skills increases across financial services - Future Skills Report 2024.

Demand for data, AI and tech skills increases across financial services

Persistent skills gaps impact firms despite easing recruitment pressures

Demand for technology and data skills is increasing across financial services despite easing recruitment pressures, according to a new report published today by the Financial Services Skills Commission (FSSC).

The ‘Bridging the skills gap in a rapidly evolving sector’ report, reveals how skills gaps remain prevalent across the financial services industry. Demands for machine learning and AI skills continue, as firms undertake digital transformation programmes and adopt AI, with employees having to learn new skillsets at pace to build and implement AI tools and technology.

Analysis from the report also highlights how job vacancies for data, cyber, tech and product manager roles, remained hard to fill in 2023 despite a growing number of candidates entering financial services. There was also a lower share of graduates entering financial services from 8% to 4% in the latest available data for 2020/2021, emphasising the importance for the industry to focus on developing a more robust pipeline of talent, working with colleges and university partners.

Despite persistent skills shortages, the report also outlines the positive steps the industry has made to collectively prioritise skills in the Boardroom, increase skills forecasting measures and employee learning hours.

 Claire Tunley, Chief Executive at the Financial Services Skills Commission comments:

“To address the skills and talent challenges and to create lasting change, we are calling on business leaders to ensure skills are central to business and workforce strategies, improve forecasting capabilities and  deliver reskilling programmes at scale.

The industry can achieve this through greater collaboration to find solutions to skills challenges, continuing to champion the attractiveness of the sector.”

The report findings are developed from in-depth surveys and analysis with senior executives, HR, and workforce planning specialists across the financial services sector. FSSC members represent 300,000 employees across the UKs financial services workforce, which includes banking, insurance, asset management and fintech firms.

Access the ‘Bridging the skills gap in a rapidly evolving sector’ report here.