In one of the more bizarre recent job moves, the former co-chief of global credit at Citigroup, Mark Watson, has re-emerged as chief executive of Malta's Mediterranean Bank. This begs the question whether the island is keen to attract UK financial talent.

The simple answer is that it does want to tap UK financial services expertise, but possibly not in such glamorous roles as Watson's new post. Mediterranean Bank is trying to carve a niche for itself through adopting a Swiss style of wealth management (having recently been purchased by private equity firm Anacap Financial Partners) and this is not something Malta is renowned for.

Instead, over the last couple of years it's worked hard to attract captive insurance business (going from 0 to 17 companies since 2004) and fund administration firms (which have more than doubled in five years).

There are over 6,000 people employed in Malta's financial industry, but a survey by the Malta Financial Services Authority pointed to a skills shortage, with firms citing a lack of qualifications and work experience among the local population.

Matthew Camilleri, director of financial services recruiter Castille Resources in Malta, insists that international expertise is essential to the development of the island's financial sector.

"Firms tend to look beyond Malta for senior roles in areas such as corporate and commercial banking, wealth management, treasury and investment advisory roles," he says.

But John Zammit, director of executive search firm Antal International in Malta, says after a period of rapid expansion, financial services firms have become more cautious about taking people on this year.

"Nonetheless, there are specialist skill-sets which simply cannot be found locally and UK experience is highly valued," he says.

The good news is that, according to a recent assessment by the IMF, the Maltese financial sector has thus far held up quite well. But, should you be tempted to make the move, expect quite a hefty pay cut.

Camilleri says bonuses are a fraction of those offered in London, and base salaries typically come in at around 30-40% lower than in the City.