Lure of London fading for Millennials, survey suggests

Nick Elvin

Less than one in ten Millennials actively want to work in London, while more than half will move anywhere for the right job, according to new research from Lloyds Bank Commercial Banking.

The survey found that relocating to London is not on the agenda for 51% of those born between 1980 and 2000, while over a third (35%) don’t want to move away from home, and 8% insist they will only work in the capital.

In fact, location ranked seventh on the list of factors that would attract Millennials to a business. Number one was salary (49%), followed by flexible hours (35%), career development opportunities (35%), training opportunities (28%), benefits package (25%) and the option to work from home (22%).

The survey also found that while almost half (46%) of Millennials said they would rather work for a large business, 41% would prefer to work at a small firm and 13% had no preference.

Of those who would rather work for an SME, 85% said they think a smaller business is better placed than a larger one to offer them the working conditions they want.

It is estimated that Millennials will account for more than half of the global workforce by 2020, a change that SMEs recognise. Almost nine in ten (86%) said the future growth of their business relies on their ability to recruit Millennial talent. SMEs are banking on policies such as flexible working hours (51%), the option to work from home (28%) and regular training (24%) to recruit Millennials.

That tallies with what Millennials said most interested them when looking for a job: flexible working hours (35%), regular training (28%) and the option to work from home (22%).

Gareth Oakley, managing director, SME banking, Lloyds Bank Commercial Banking, said: “Our research shows that the vaunted ‘brain drain’ to the capital – where the brightest young minds abandon their home towns to seek opportunities in London – isn’t as evident as previously thought.

“Millennials no longer see SMEs as being the poor relation of international corporations. Instead they value their entrepreneurial culture, which they see as being supportive, creative, and full of opportunity to take on responsibility. SMEs may need to invest and be willing to change their working practices to remain attractive.”