British financial services? It's a family affair: report

LONDON (Reuters) – Nearly half of people in the financial services industry in Britain have followed their parents in the industry, more than three times the national average, according to the KPMG consultants study.

This comes as policymakers and investors are pushing the sector to improve diversity within management and to make companies more inclusive in improving corporate governance and shareholder returns.

Research found that 41% of financial services staff had parents in the same sector, compared with a national average of 12%. In insurance, the figure was even higher at 54%.

"The fact that people working in financial services are more than three times more likely than the national average to have followed their parents' careers is staggering," said Tim Howarth, KPMG's Financial Services Advisor.

KPMG surveyed more than 1,500 people, one-third of whom worked in banking, insurance or asset management, while others worked in various sectors of the country.

The lack of diversity in the sector was a "daunting challenge," said John Mann, an opposition labor legislator and member of the government's financial sector oversight committee.

"His biggest problem was by far his cultural problem," he told Reuters. "That's what led to the collapse of several financial institutions. Cultural problems are reinforced by not bringing in more people. "

The financial industry is one of the largest British taxpayers and holds some of the highest paid jobs in the country. According to the report, 87% of people working in the sector say they like their work, exceeding the satisfaction rate of 82% observed outside the sector.

Yet 65% of KPMG respondents said they did not consider playing a role in financial services. Of these, 41% said it was because the industry "seemed boring", while 16% mentioned a lack of contacts in the sector.

"There is a clear gap between what the public thinks and the realities of working in financial services (…). This needs to be addressed if we are to attract the broad range of skills and experiences needed to cope with the ongoing changes in financial services. the company, "Howarth said.

The most important motivator for over a third of the 500 financial services workers surveyed was the increase in wages.

Only 16% of the 1,000 workers in the non-financial services sector are primarily motivated by money.

"We are always told that Generation Y and Generation Z are more interested in their social impact than in their finances. As a result, our industry needs to be more imaginative in attracting and retaining staff, "said Jon Holt, KPMG Financial Services Manager.