The UK is facing 17,000 green finance vacancies, undermining efforts to meet net zero goals in the finance sector, PwC report reveals.
The report, titled “Green Jobs Barometer,” created in collaboration with the Financial Services Skills Commission (FSSC) and the Aldersgate Group, highlights a growing demand for green jobs within the UK’s financial services sector. But, behind this growth lies an emerging skill gap that is not moving fast enough to be closed.
According to the results, from 2019-2020 to 2022-2023, the number of green job openings skyrocketed, more than tripling from 4,900 to 16,700. This surge reflects both the creation of new roles like sustainable investment analysts and climate strategists, and the “greening” of existing jobs, where portfolio managers, for example, now incorporate ESG analysis and climate risk assessments into their responsibilities.
However, this progress is unevenly distributed. London and other major financial hubs are the epicentres of green job growth, leaving other regions lagging behind. This geographical disparity poses a significant barrier to nationwide progress, potentially hindering the UK’s collective net zero ambitions.
“While the demand for green finance jobs is on the rise, significant regional disparities exist in the prevalence of these roles across the UK,” Said Carl Sizer, head of regions at PwC UK. “As green and nature finance continues to grow, the pressing green skills gap needs to be addressed. Collaboration between government, educational institutions and the financial sector is essential to meet net zero objectives and promote sustainability in finance”.
Claire Tunley, chief executive at the Financial Services Skills Commission, echoes the call for action, urging firms to “equip employees with the skills and knowledge they need.” This, she stresses, is crucial not only for retaining talent and unlocking productivity within the sector, but also for achieving net zero and promoting sustainability in finance as a whole.
The report’s findings arrive on the heels of another study by PwC, revealing that while the number of green job postings in the UK has dipped from its 2022 peak, the sector continues to outperform the broader jobs market.
