London finance jobs tumble 30% as Budget uncertainty grips the City ahead of Healey's 28 October statement

From the Newshound archive · first published 12 October 2026.

City finance vacancies fell sharply to 1,200 by the close of the third quarter, a 30% drop from 1,719 in July, as employers assess the potential cost of tax increases in John Healey's 28 October Budget. A surge in borrowing costs triggered by the Iran war has squeezed Healey's fiscal headroom to an estimated £11bn. EY analysts believe the Chancellor's buffer against his own borrowing target has been badly eroded, fuelling expectations of further tax rises.

Recruiter Morgan McKinley warns employers are delaying hiring until they have 'greater clarity' on the Budget's impact on costs.

JP Morgan boss Jamie Dimon reportedly warned Healey in August that higher taxes on lenders could drive business elsewhere — with Wall Street banks now eyed as potential winners if City charges rise.

Burnham is reportedly accused of being too distracted by relitigating Brexit to address a reportedly £35bn black hole in the public finances.