HSBC might move 1,000 staff from London headquarters to Paris
27 June 2016
HSBC might move 1,000 staff from its London headquarters to Paris if the UK left Europe, the BBC reported.
According to the BBC, the relocated staff would likely be from the bank's division that processed payments made in euros at its Canary Wharf base.
There was uncertainty over the future of London as a leading financial centre after shock referendum result last week in which the UK voted to exit Europe.
However, Morgan Stanley was forced to deny on Friday it intended to relocate 2,000 jobs.
JP Morgan chief executive Jamie Dimon emailed his bank's UK staff on Friday warning that there might be changes to its legal entity structure in Europe following the referendum.
According to commentators, London's position as a leading global financial hub might be jeopardised from the Brexit vote.
Rival financial centres in Frankfurt, Paris and Dublin had boosted their marketing efforts in order to attract banks thinking about moving from London.
Jonathan Hill, who stepped down as EU commissioner for financial services over the weekend, underlined the threat. He does not believe that UK-based banks would be able to preserve the 'passport' which allowed them to serve clients across Europe.
Meanwhile, citing financial industry sources citywire.co.uk reported that as many as 70,000 financial jobs may be expected to go in the next year.
One finance consultant told a leading careers website, "You're looking at 50,000 to 70,000 London finance jobs being moved overseas in the next 12 months.
"Jobs are going to be cut, and those cuts are going to start next week."
According to a BBC report, if the UK were to not strike a deal to trade freely with the remaining EU countries, HSBC would cut its London operations and boost the size of its French office.