UK banks and financial giants are going on a hiring spree – but only if you have these skills
UK financial services firms are gearing up for a notable increase in hiring throughout 2026, bucking a broader slowdown in the jobs market and reversing one of the sector’s weakest hiring periods since the 2008 financial crisis.
According to KPMG’s UK Financial Services Sentiment Survey, which polled 150 senior leaders in the sector, more than half (55%) of firms expect to expand their headcount this year. Over eight in ten express confidence in their ability to secure the talent they need as early as Q1 2026.
This optimism comes after 2025 saw vacancies in the sector decline, the only such drop outside the 2020 pandemic year since records began tracking post-2008.
The hiring push is heavily concentrated in technology and AI, reflecting the sector’s accelerating digital transformation. Among firms planning to recruit, 52% said their efforts will focus primarily on technology roles.
AI skills dominate the agenda
AI expertise emerges as the clear frontrunner in demand. It tops the list for external hiring (cited by 44% as the biggest focus) and internal upskilling (43%). At the board level, the push is even clearer, with 57% of firms increasing senior hires identify acquiring AI skills as their top priority.
AI development ranks as the second-most influential factor driving hiring decisions for 2026 (25% of respondents), trailing only the overall UK economic outlook (31%).
“AI is no longer just a productivity tool, it is actively shaping who firms hire and who they don’t. As firms acquire more AI and technology specialists, the importance of diversity will be critical to responsible technology design and development,” said Karim Haji, Global and UK Head of Financial Services at KPMG.
Haji noted a rising demand for ethical AI leadership roles filled by professionals with backgrounds in behavioural and social sciences, law, or psychology, rather than purely technical or risk-focused experience. These hires help ensure AI systems are not only effective but also safe, ethical, and trustworthy.
Senior roles take priority over entry-level
Recruitment priorities tilt toward experienced talent. Managing Director-level positions rank as the biggest focus, while early-career pathways lag. Only 4% of respondents identified apprenticeships as a priority in 2026, down sharply from 20% in late 2024.
Haji cautioned that this senior, tech-heavy focus could create long-term challenges.
“The focus on more senior, technology-focused hires also raises questions about whether the sector is building enough depth and diversity of skills for the long term.
“The sector needs to ensure that recruitment doesn’t become overly concentrated in a narrow set of technical skills, when it also needs breadth, adaptability and robust future talent pipelines,” he said.
A tech-first approach to resilience and risk
The survey reveals that financial services leaders are prioritising technology investments to bolster resilience against geopolitical risks, cyber threats, and financial crime, with people-related spending taking a backseat.
Key planned investments for 2026 include:
- Technology: 43%
- AI: 41%
- Cyber resilience: 36%
- Data management and security: 35%
- People: 24%
A similar pattern appears in fraud and financial crime strategies, where 68% prioritise technology for prevention, compared to just 20% focusing on employee awareness training and 9% on human expertise.
“Technology is becoming the first line of defence. As technology develops, there is a risk that safeguarding becomes overly systems-led unless investment in people, judgement and governance keeps pace,” Haji said.
What this means for job seekers
For candidates eyeing opportunities in UK banking, insurance, asset management, and other financial services, there is a clear trend towards technical proficiency in AI, data, and broader technology as the strongest ticket to new roles.
Valuable complementary skills include:
- Experience implementing or governing AI systems
- Data analytics and management
- Cyber security knowledge
- Ethical or responsible AI frameworks
Broader adaptability, cross-functional collaboration, and regulatory awareness will also help, as firms balance rapid tech adoption with risk management and long-term talent pipeline needs.
