End-of-year payments to financial executives could send City salaries soaring even higher, according to recruiter Morgan McKinley.

The firm’s latest Employment Monitor salary survey reveals average city salaries rose by 5.2% in September to £50,386.

But chief executive Robert Thesiger says wages could rise even higher in the last few months of the year, particularly among top earners.

“Overall, City basic salaries continue to climb upwards, with the highest rises over the month occurring at the senior level,” he said.

“Over the next few months, this trend is likely to continue as financial services professionals await bonus payments before considering their move.

“This will place additional pressure on an already tight candidate market and, in turn, may have an incremental effect on salaries.”

Job vacancies in September were down compared with the previous month, at 5,733 new jobs, a fall of 756 from August.

The figures are based on confirmed placements, with monthly new jobs and new candidates based on the Morgan McKinley permanent employment registrations.