Breaking Barriers: How Financial Services Can Unlock Opportunities for Young Talent from All Backgrounds

Persistent Gaps in Financial Services Careers

Research from LV=, in partnership with the Social Mobility Foundation, reveals that young people from lower socioeconomic backgrounds (LSEBs) face significant hurdles in accessing and advancing within the financial services industry. The study, conducted among individuals aged 16-21, found that only 40% of those from LSEBs believe the industry is open to someone "like them," a stark contrast to their peers from more privileged backgrounds.

Key Barriers to Entry and Progression

Understanding how to enter the financial services sector is a major challenge, with respondents citing it as a greater barrier than in other industries like healthcare or technology. A lack of entry-level opportunities is particularly limiting, making it harder for young talent to get a foot in the door.

David Hynam, CEO of LV=, emphasized the importance of addressing these issues: "Understanding the barriers young people face is essential to creating meaningful change and identifying what businesses and policymakers can do to improve access and opportunity. Social mobility is fundamental to building a truly inclusive workplace culture."

Networking and Experience Gaps

Not knowing the "right people" or having industry contacts was highlighted as a key obstacle, especially for those from LSEBs. They were also significantly more likely to report a lack of relevant work experience opportunities and limited local options, further hindering their career progression.

Sarah Atkinson, CEO of the Social Mobility Foundation, warned of the broader implications: "Young people from working-class backgrounds are telling us that careers in financial services aren't open to them. Talent is everywhere, but opportunity is not. If bright young people are locked out, businesses risk missing out on top talent and fostering groupthink, which can lead to worse decision-making."

Call to Action for Employers

Atkinson urged financial services employers to integrate social mobility into their talent strategies and collect socioeconomic data to track who is succeeding. "Then they can start breaking down the barriers to opportunity and create more representative, successful businesses," she said.