Exodus of 15,0000 London Jobs To India by 2010

Filed in archive Outsourcing News on March 30, 2005

London's financial district will lose about 15,000 financial services jobs to India by 2010. According to research by Troika, more jobs will move to low-cost countries because companies now outsource complex jobs in addition to low skill jobs. Troika said that a total of 100,000 jobs would be outsourced to low-cost countries by the end of the decade.

In recent years, the Indian outsourcing sector is shifting towards the more profitable and highly analytical research and analysis market. The country's outsourcing firms are preparing to offer actuarial services and financial modeling to foreign companies.

Andrew Stewart, Troika managing director, said, "There is a growing shift to look at off-shoring more complex and high-paid roles - finance, research, human resources, marketing, actuarial and underwriting."

At present, Indian firms already provide research services to London-based stockbrokers and management consultancies. They feed into work completed by equity research and economic research teams, and give background industry analysis for consultants.

The Corporation of London said that outsourcing jobs does not pose a threat to London's financial district. Moreover, the International Financial Services said that financial services outsourcing would be worth �77 billion in 2005, or �38 billion in cost-savings of those services in the UK.