Almost three-quarters of finance professionals in the UK are hoping to escape the sector, and are looking for a job elsewhere, as many say the profession has failed to keep pace with changing expectations.

New research by Medius, an AP automation and global payment software provider, reveals a worrying trend for finance business leaders regarding talent recruitment and retention.

When asked if finance professionals would recommend a job in the sector to Gen-Z (those born between 1996 and 2010), 75 per cent of respondents said they wouldn’t recommend it to the younger generation.

This is because, according to those surveyed in the finance sector, other fields now offer better compensation (52 per cent), they’ve experienced high levels of burnout and poor work-life balance (52 per cent), and a career in finance offers less security and stability than in previous years (36 per cent).

Administrative responsibilities and repetitive tasks also emerged as issues leaving finance professional feeling disappointed with their roles. Eighty per cent said they are responsible for replying to vendor emails, taking up eight hours per week. A huge 90 per cent are also responsible for approving invoices, with most saying they approve 13 invoices per day.

“Having first-hand experience in the finance sector’s highly bureaucratic environment, these findings deeply resonate with me,” explained Zeeshan Malik, an ex-finance professional. “Although the work was important, it involved repetitive and mundane tasks, unfortunately for which the compensation was subpar. The relentless pressure and overwhelming hours often left me and my colleagues struggling to maintain a work-life balance, leading to severe burnout.

“My decision to leave finance was driven by the pursuit of a healthier, more fulfilling life. The industry must adapt to modern workplace expectations and undergo significant changes to retain its talent and appeal to the next generation, or it risks losing young professionals like myself.”

Is the talent crisis causing fraud vulnerabilities?

As financial professionals leave the sector, businesses are left increasingly vulnerable to fraud. Twenty-seven per cent of finance professionals say their finance team alone is responsible for protecting the business against fraud, while 56 per cent report invoice fraud as the most common type of fraud their business faces.

The Medius survey found that businesses dealt with approximately 13 cases of invoice fraud each year, and when asked to quantify the financial loss to their business, finance professionals estimated it came to an average of £104,000.

Emma Brown, CFO of Medius, comments: “UK finance professionals are fleeing the sector, with only 25 per cent recommending it to Gen-Z. Burnout, poor work-life balance, and better opportunities elsewhere are driving the exodus, signalling a talent crisis. We know that careers in all fields are often a far cry from what they’re cut out to be – but to see so many professionals leave the sector is not only a talent crisis, but a security crisis too.”

Financial professionals planning to leave the sector could also leave businesses vulnerable to compliance issues and reduced operational efficiency. For instance, 20 per cent of invoices require manual intervention despite current automation efforts, and 30 per cent of finance professionals are unable to close their books on time, with the principal issue being paying supplier invoices.

However, it’s not all doom and gloom. As HR functions and operations address recruitment and retention for finance professionals, positives can also be found in the use of technology. As AI and automation are implemented across businesses, 47 per cent say they have more time for innovative strategies, and 90 per cent are satisfied with their organisation’s adoption of AI.