City recruitment 'could be affected by liquidity crisis'

Recruitment in the City of London could soon be affected by recent financial turmoil, it has been claimed.

Chris Croft, manager of banking technology at Huxley Associates, told Recruiter website that he had noticed there has been a fall in recruitment among banks.

"Probably 50 per cent of our accounts have reduced their hiring dramatically," he remarked.

Positions which were still in demand included front office or strategic roles, he explained, adding that the slowdown mainly hit "big projects taking on hundreds of people".

Mr Croft suggested that the typical trend for banks to impose a moratorium on recruitment during October and November had started earlier this year.

However, a spokesperson from Deutsche Bank told the news provider that the financial institution was not in the middle of a hiring freeze but was instead operating in a "completely normal" fashion.

Data from the Office for National Statistics indicated that vacancies for finance jobs have recently experienced a bigger increase than positions in any other sector.