Brexit impact: Banks planning to move 9000 jobs from Britain


Brexit impact: Banks planning to move 9000 jobs from Britain

The regulators have said European banks should be ready to set up full-blown subsidiaries in Britain and submit to Bank of England regulation if Britain and the EU can not reach a Brexit deal.

In last couple of weeks JPMorgan, the world's largest investment bank, and Standard Chartered have confirmed plans to move staff to the Continent, while Goldman Sachs chief executive Lloyd Blankfein warned London could "stall" following Brexit. London could lose 10,000 banking jobs and a further 20,000 roles in financial services, according to the Bruegel think tank, while other estimates range from as little as 4,000 to as many as 232,000 positions.

Pedestrians cross a foot bridge towards the offices of global financial institutions, including JPMorgan Chase & Co. and the commercial office block No. 1 Canada Square, in the Canary Wharf financial, shopping and business district in London, U.K., on Tuesday, April 18, 2017.

City firms publicly confirming contingency plans to move staff or operations to the European Union post Brexit have risen 50 per cent over the last four months, according to EY, although the increase is being attributed to the tight timetable rather than politics.

Houses of Parliament
Brexit impact: Banks planning to move 9000 jobs from Britain

Bankers have been working hard on their plans and have been in talks with financial authorities in Europe following an instruction from the Bank of England to draw up Brexit plans by mid-July.

The new capital demands for European banks, which could amount to €40bn (£33.7bn), could accelerate the process of European bankers moving away from London, which now hosts the bulk of many European banks' investment activities.

"It's full speed ahead". 'We are in full motion with our contingency planning. A report by the Institute for Fiscal Studies said on Thursday that the rest of the United Kingdom population could face higher taxes if top earners move overseas. "I will buy a one way train ticket out of London and take everyone with me", one senior executive at a European bank told Reuters, speaking anonymously due to the sensitive nature of the topic. When they're done chin-wagging over United Kingdom trade agreements, they can ponder the points of the day over 'a traditional afternoon tea complete with scones and clotted cream, before joining a political historian to put British politics in context within the E.U'.

"It is an unintended outcome, but the more and more preparation you do the more likely you are to execute those plans", the executive said.