Crackdown on Wonga could be cause of greater demand for risk and compliance talent
20 October 2014
Following payday lender Wonga’s announcement of its £220m debt write-off, demand for risk and compliance specialists in the payday loans market has risen, a recruiter says.
Mon, 20 Oct 2014
Following payday lender Wonga’s announcement of its £220m debt write-off, demand for risk and compliance specialists in the payday loans market has risen, a recruiter says.
Manchester-based financial services firm MERJE says demand for senior professionals in the sector is 30% higher than it was for the same period last year, and it is partly attributable to Wonga’s write-off.
It expects the demand to grow further, possibly by another 30%.
As part of an agreement with the Financial Conduct Authority (FCA), Wonga recently wrote off loans to 330,000 customers who had been in arrears for 30 days or more, as well as writing off the interest of 45,000 other customers.
MERJE director Richard Abelson said in a press statement that although skill shortages and competition to secure the best risk and compliance professionals have traditionally been high, Wonga’s write-off will come as a “wake-up” call to businesses in the sector.
“The FCA’s recent clampdown will only compel decision makers to invest further in recruitment for these positions, as the need for candidates with solid regulatory and risk management experience heightens.”
Venn Group financial services recruitment specialist Joss Collins agreed with Abelson, telling Recruiter increased scrutiny in the sector had added to the already increased demand for skilled compliance professionals at all levels.
Harrington Starr director Toby Babb, however, told Recruiter that attributing the rise in demand to Wonga was “myopic” and a “tenuous link”.
“Risk and compliance is a far bigger issue than this, which is a tiny fragment of a very big picture.
“Risk and compliance is definitely a buoyant area, but attributing it totally to Wonga is myopic in my opinion.”
TheCityUK’s October 2014 London Employment Survey, released today, showed employment in financial and related professional services in London reached a record high of 703,900 in June 2014.
That was 11% above the low seen in 2010 and nearly 2% above the pre-crisis peak in 2007.
A TheCityUK spokeswoman said the survey was based on data from ONS which dated back to 2007.
Following payday lender Wonga’s announcement of its £220m debt write-off, demand for risk and compliance specialists in the payday loans market has risen, a recruiter says.
Manchester-based financial services firm MERJE says demand for senior professionals in the sector is 30% higher than it was for the same period last year, and it is partly attributable to Wonga’s write-off.
It expects the demand to grow further, possibly by another 30%.
As part of an agreement with the Financial Conduct Authority (FCA), Wonga recently wrote off loans to 330,000 customers who had been in arrears for 30 days or more, as well as writing off the interest of 45,000 other customers.
MERJE director Richard Abelson said in a press statement that although skill shortages and competition to secure the best risk and compliance professionals have traditionally been high, Wonga’s write-off will come as a “wake-up” call to businesses in the sector.
“The FCA’s recent clampdown will only compel decision makers to invest further in recruitment for these positions, as the need for candidates with solid regulatory and risk management experience heightens.”
Venn Group financial services recruitment specialist Joss Collins agreed with Abelson, telling Recruiter increased scrutiny in the sector had added to the already increased demand for skilled compliance professionals at all levels.
Harrington Starr director Toby Babb, however, told Recruiter that attributing the rise in demand to Wonga was “myopic” and a “tenuous link”.
“Risk and compliance is a far bigger issue than this, which is a tiny fragment of a very big picture.
“Risk and compliance is definitely a buoyant area, but attributing it totally to Wonga is myopic in my opinion.”
TheCityUK’s October 2014 London Employment Survey, released today, showed employment in financial and related professional services in London reached a record high of 703,900 in June 2014.
That was 11% above the low seen in 2010 and nearly 2% above the pre-crisis peak in 2007.
A TheCityUK spokeswoman said the survey was based on data from ONS which dated back to 2007.
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