UK Risk & Quant Market Update & Salary Guide 2025
The Risk and Quant job market has been volatile over the past year. In Banking, hiring remained reactive but has recently shown signs of increased activity, with some institutions reducing headcount while others adapted their strategies to bolster recruitment. Regulatory requirements, particularly PRA mandates, continue to drive hiring, prompting several firms to shift away from offshoring.
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2025 UK Risk & Quant Market Update & Salary Guide
A key theme in recruitment for the Consultancy space has been a focus on replacing existing positions, rather than hiring for growth, due to many practices being held to budget constraints. However, Consultancies have still needed to respond to various Funds, especially in commodities, are leading hiring activity, with strong demand for quantitative professionals and significant investments in quant analytics, commercial quant research, and strategy roles. The market is increasingly technology and data-focused, prioritising data infrastructure improvements. Risk infrastructure investment is also gaining momentum, particularly as more professionals transition from Banking to the Buy-Side. As a result, traditional Banking structures are emerging within funds, with firms establishing central quant functions and model risk frameworks. Notably, commodities firms have intensified their focus on market risk infrastructure.
Hiring & Compensation Trends
Hiring in Banking is gradually increasing, while Funds and commodities firms continue to drive demand for quant talent. Risk hiring remains steady, driven by regulatory requirements, with intense competition for niche skillsets, making it essential for firms to act decisively to secure top talent. Salaries have stabilised, with a 7%-10% increase, though variable compensation varies—commodities firms have seen 15%-20%+ increases, while other sectors have declined. Counteroffers are common, with Banking firms adhering to salary banding, while Buy-Side firms offer more flexibility.
Market Outlook for 2025
Looking ahead, firms will continue to enhance data capabilities, with quant team expansion and data process optimisation as key priorities. Across Europe, there is growing demand for GenAI capabilities, with European institutions adopting these technologies faster than their UK counterparts. The Financial Services job market remains competitive and evolving, with firms prioritising data-driven strategies and risk infrastructure investment to maintain a competitive edge.
Click Here to Download the
2025 UK Risk & Quant Market Update & Salary Guide
For tailored solutions to your hiring needs in this dynamic market, contact Conor today. His expertise and insights can guide you through navigating the current landscape and securing the right talent for your team.
Conor Taylor, Senior Consultant, EMEA Risk, Danos Group.
E: ctaylor@thedanosgroup.com
T: +44 (0) 20 7010 1159
