Job creation up thanks to ‘return of confidence amongst City employers’

The number of jobs created in the City of London increased by 25 per cent last month, according to a study published today.

More than 4,300 positions became available in May, well up on April, although still a third down on a year ago, said recruitment firm Astbury Marsden.

Mark Cameron, chief operating officer, said: “Although the eurozone crisis is a block to a stronger and more sustained recovery in the financial services sector, we have still seen a gradual return of confidence amongst City employers.

“Sentiment has improved since the latter stages of 2011 but, to put this recent recovery in perspective, the jobs market is still far lower than this time last year.”

He added: “Given that the recent political deadlock in Greece and the banking crisis in Spain have made a swift resolution of the eurozone crisis less likely, this significant rise in the number of new jobs is a pleasant surprise for City staff.”

According to a recent study by the Centre for Economics and Business Research (CEBR), the number of well-paid City jobs has fallen by almost 100,000 since 2007.

The think-tank also said total bonus payouts in the City for 2012-13 are expected to fall by 48 per cent to £2.3 billion, down from £4.4bn for 2011-12 and drastically down from a peak of £11.6bn in 2007-8.

Large bonuses are now “the exception, not the rule” following a collapse in City activity and the weak jobs market, the CEBR said.