Banks Fight for Top Dealmakers as Talent Pool Starts to Dry Up

A surge in dealmaker hiring this year has left senior bankers fearing a talent shortage in the City, while others are wary that the recruitment splurge could leave teams over-staffed if the boom in deals slows.  

Bonuses for dealmakers are expected to jump by up to 30% in 2026, according to Wall Street compensation consultants Johnson Associates, after a bumper first half has led banks to dig deep to retain key staff and bring in new talent to capitalise on the boom.  

“We expect senior dealmaker hiring to keep its momentum,” said Chris Connors, managing director at Johnson Associates. “The focus is on production and market share, and that keeps senior dealmakers in demand.”  

Even with deal pipelines buoyant and banks scrambling for talent, firms are focused on their top performers.  

“The differentiation for revenue producers is sharper than we have seen in years,” said Connors. “Even firms that don’t operate ‘eat-what-you-kill’ models are paying up for production. And while compensation ratios are coming down given many banks have managed headcount aggressively, the incentive pools are bigger in aggregate dollars. More money across fewer people, and the top performers are capturing it.” 

Financial New London / August 16, 2026