UK headhunter Michael Page earned lower fees in its last quarter after City bigwigs got cold feet over moving jobs due to Brexit uncertainty.
The recruiter, a division of PageGroup, said fears over the October deadline had forced many senior executives to hold back.
“You have to make pretty sizeable offers if you want a senior candidate to move. Some candidates who are not that taken with the job use it as an opportunity to get a pay increase. I don’t think that’s going to change until we get certainty,” said PageGroup finance chief Kelvin Stagg.
PageGroup shares dived 15% after it warned operating profits would be at the low end of expectations due to sluggish business confidence in Europe.
Operating profits are likely to be closer to £156 million, below the £161 million expected. UK fees for Michael Page fell 6%.
UK gross profit in the UK, which accounts for 16% of the group, dropped 2.4% to £35 million for the second quarter.
