New England Council Releases Report on New England's Financial Services Sector
In January of 2017, the New England Council released its 38-page report entitled "The New England Financial Services Sector: Around the Corner, and Around the World." The report, which is based on 2015 data, can be found here.
The report focuses on the importance of the financial sector to New England's economy, including the banking sector, the insurance sector, and the asset management sector. The report specifically notes that, even though New England represents 4.2% of the nation's population, the region's financial services sector represents 6.2% of the nation's employmentin this sector and 8.3% of the nation's total wages in this sector. The report credited the region's "ecosystem" as key to spurring growth in this sector, particularly the region's colleges and universities.
Within the region, the financial services sector is the 7th largest sector for jobs. Total employment in the sector is 375,460 jobs with an average wage of $157,674. This compares to average regional wages of $64,996 per job.
In the region's banking sector, there were 3,951 bank branches, 1,200 credit union branches, and $643 billion in assets. With respect to savings banks in particular, three states in New England ranked in the Top 10 nationally in terms of deposits: Massachusetts (1), Connecticut (2), and Maine (7).
With respect to the region's Fin Tech industry, the Report indicated that nearly $750 million had been invested in Fin Tech start-ups through early 2016. The Report also included a detailed "spotlight" on the impact of Fin Tech on the region's banking industry.
Overall, the Report makes a clear case that New England's financial sector plays a critical role in the region's economy, and the sector plays an out-sized role in the country.