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Tech Cities gain ground in battle with London for IT talent

Several of UK’s Tech Cities outside of London have offered more jobs and higher pay in the IT sector, thus narrowing the gap they have on the country’s capital in the third quarter.

These are the results of the quarterly report entitled Tech Cities Job Watch, which monitors UK’s IT hiring trends. The report was done by professional resourcing specialist, Experis.

The report presents an analysis of over 52,000 IT jobs advertised across the UK between July and September 2015. It shows that the number of jobs advertised in London over the quarter dropped 8 per cent to 35,610, in line with seasonal summer trends.

At the same time, cities such as Manchester, Leeds and Bristol posted more roles during the summer.

Glasgow was a standout city in this report, advertising for nearly twice as many permanent roles in IT as in the past quarter. This was driven largely by the Financial Services Sector continuing to invest heavily in digital transformation projects in the city.

Types of jobs offered also changed. The number of contract roles rose by 6 per cent to 5,849. The average contractor day rates also increased by 4 per cent to £410 per day, while the average permanent salary fell by 1 per cent.

Salaries have also risen outside of the capital. While London jobs still offer the highest average permanent salary (£52,649, a fall to 1 per cent below Q2), average salaries outside of London rose in Cambridge by 7 per cent (£44,821), Manchester by 5 per cent (£38,474) and Leeds by 2 per cent (£38,900).

Big Data jobs continue to offer the highest pay, averaging at £62,809 for permanent roles, and a £539-day rate for contractors. Edinburgh and Birmingham offered London-beating average salaries for Big Data roles (£69,733 and £66,667 respectively).

Jobs in cloud have grown substantially in both the number of roles advertised and average salary. Since Q1 2015, cloud roles have grown the fastest, increasing by 20 per cent to 8,380. As a further illustration of demand, cloud roles now command the second highest average salary (£53,430) and day rates (£453), beating IT Security for the first time and putting it second only to Big Data jobs.