Entry level salaries low in London

Hey monkeys, just curious about why salaries are so low for entry-level analysts in London compared to other places in the world.

Normal comp at a BB in London would be GBP 50K + 15K bonus and a little something for signing, which would amount to c.70K in total. As of today's exchange rates, this would represent USD 98K and EUR 80K.

From what I understood: * NY BB pay is in the form of USD 85K + 60K in bonus + something I guess for signing, which would amount to 150K all-in * Continental Europe pay is EUR 75K + 30K in bonus + a little something for signing, which would amount to 110K all-in (or USD 135K)

As you can see there is a substantial difference in favor of NY and Continental Europe (98K vs. 150K vs. 135K) and I cannot manage to find rational explanations to this. Cost of living is super high in London and much higher than Continental Europe for example.

I know the pound has taken a big hit due to Brexit but I was wondering if there were other rational explanations to those big differences in salary levels (pre-Brexit salaries were still lower). Also, if this difference has been significantly widened due to Brexit, do you expect a normalization of the salary levels in the coming years?

Thanks all.