In the United States, many top graduates are gravitating toward positions in artificial intelligence (AI) firms, while in Britain, a notable shift is occurring as these individuals are increasingly pursuing careers as quantitative analysts. The Financial Times has reported that London is emerging as one of the leading centers for quantitative analysis, with many students from prestigious institutions, such as Oxford, securing roles in quant trading firms. Salaries in this area have been significantly high, ranging from £250,000 to £800,000 annually. There is a notable decline in interest for traditional investment banking roles, with fewer students considering offers from firms like JPMorgan or Goldman Sachs.
The allure of the quant finance sector can be seen in the impressive earnings of figures like Alex Gerko, a trader whose firm, XTX Markets, reported earnings of £682 million last year. Meanwhile, entry-level positions in traditional City roles offer much lower median salaries, around £33,000 annually, highlighting a stark contrast between the two sectors. Executives have indicated that rising university debts diminish any wage premium for graduates, prompting firms to explore more efficient options, including increased reliance on AI and outsourcing.
The implications of these trends raise concerns about the broader professional landscape in the UK. There is a growing disparity where a small elite earns significantly, while many qualified professionals are left earning only slightly above minimum wage. Critics argue that a financialized economy in the UK has failed to channel innovation into productivity, leading to a misallocation of talent and resources. As finance continues to dominate, many skilled workers face economic precarity, raising questions about the sustainability of this system and its impact on society.
Source: https://www.theguardian.com/commentisfree/2025/nov/03/the-guardian-view-on-britains-new-class-divide-the-professional-middle-is-being-hollowed-out