Financial and related professional services firms remain a vital part of the East Midlands economy, according to new research into the industry’s nationwide contribution to UK employment and output.
TheCityUK’s ‘Enabling Growth Across the UK 2025’ report shows that the industry employed 88,000 people and contributed £7.2bn – or 5.6% – of the region’s GVA. Industry hubs in Nottingham, Leicester and Northampton underpin this growth, contributing almost four in ten of all financial and related professional services jobs in the region.
The East Midlands has historic strength in banking, and nearly two fifths (38%) of the industry’s contribution to GVA comes from the local banking sector. This is almost twice the economic output of the legal services sector, the second largest sector within the industry in the region.
The financial and related professional services industry benefits from major universities in the region with strong ties to the financial services. The University of Nottingham and Nottingham Trent University are home to research and career development centres in areas including banking, accountancy and law, supplying a pipeline of highly skilled talent.
Sandra Wallace CBE, TheCityUK chair in the Midlands, said: “The East Midlands has deep roots in banking and legal services and is increasingly attracting firms looking for talent and new opportunities to invest. With targeted support for skills and investment, and a stronger local voice in policymaking, we can help the financial and related professional services industry continue to deliver jobs and prosperity.”
TheCityUK’s report also sets out a practical policy framework to build on this success and enable the industry to further drive growth across the country. Its recommendations include:
- Ensuring that the new Strategic Investment Opportunities Unit in the Office for Investment is built on a real and close partnership with the private sector, including, where appropriate, using secondees and other industry experts
- Stimulating local growth by continuing work towards a devolution settlement across all English regions and sensible alignment with the UK nations, while creating a new Leadership Academy to gather expertise
- Developing pipelines of local talent by ensuring Skills England works closely with businesses, including on a more flexible Growth and Skills Levy
- Delivering on the government’s proposal to reform the planning system to encourage growth-enabling infrastructure through greater efficiency, predictability and resource allocation
