What’s Happening in the Compliance Market in 2023?

It’s safe to say there has not been a dull moment in the Compliance space over the last 12 - 18 months.

Compliance has really come into its own since the Great Recession in late 2007. Companies (no longer just Financial Services and Pharma, but across all sectors) have had little choice but to invest in their Compliance function since this time, with Compliance typically being offered a seat at the table and taken as a serious operation, something which wasn’t quite the case in years gone by.?

Recruitment professionals, including us at Graff Search, have had a tough time finding volume to offer our clients. Pre 2020 (and the global pandemic) we were in a fortunate position, due to our extensive network and years in the industry, to be able to offer our clients both quality and volume i.e. choice.?

However, due to the sheer volume of vacancies in the market in 2022, there was an abundance of choice for those candidates actively seeking new opportunities. This has meant that 2022 saw people actively seeking new jobs end up with multiple offers from a range of employers - this is great news if you’re someone looking for a new job, but very competitive for employers looking to secure talent.

It has been one of the most challenging and competitive times I’ve spent in the recruitment industry!

The majority of projects we’ve completed over the last 12 months have been at the more senior end of the market. Over the past 2 years, we’ve partnered with a number of organisations which are going through a ‘scale-up phase’ where companies are looking for multiple hires. From institutions ranging from fintechs to pharmaceutical companies, manufacturing and healthtech firms, this has been really interesting for us - we love seeing companies develop and we love being a part of that journey!?

With Compliance still being a very competitive marketplace, naturally the more junior end of the market have been attracted to some of the salaries that have been on offer, especially within the Financial Services?and Pharmaceutical sectors which, on average, are achieving around a 21% increase on base salary.

The more senior appointments we’ve completed has seen, on average, people achieving more of a set increase in base salary of around ￡20,000 to ￡30,000. This number is not a standard, as there can often be other additions to the package which can make moving jobs a financially rewarding option.?

Despite a softening of the market in Q4 of 2022 (and a softening which had to happen) our clients are optimistic for 2023. Compliance in particular, we see a continued volume of requirements - both senior and mid-level and across all industry sectors.?We believe the reason for this is because of detrimental effect (share price and reputation, etc) on companies when they either get it wrong, or are understaffed in the the key Governance areas of Compliance, Data Privacy and Legal.

I suspect the appetite and growth of Compliance functions/teams across the UK will continue to develop, especially with new rules and regulations coming through the system and those ‘reputable’ firms acting appropriately.

We have had conversations with a number of our clients towards the end of last year and it seems that some companies are likely to be a slowing down the growth of some departments, but Legal, Compliance and Data Privacy are areas most of our clients have confirmed will be areas they will continue to grow and further develop. 6 weeks into 2023 has already seen Graff Search receive instructions on a number of senior in-house positions, which is unusual for January and February, as the majority of senior appointments tend to come to the market post the start of the financial year in April. If 2023 continues at this pace, we could have another very good year for those considering their career options across Legal, Compliance and Data Privacy.

We look forward to helping those who work with us, or who are exploring new opportunities in 2023, or those looking to hire talent in the in-house Legal, Compliance and Data Privacy space!