20 banks moving their HQ to EU mainly Frankfurt

[LOVELYDOVEY05]

Is this true or another Brexit fib? There are about 100 so quite a lot .

Where did you see this reported?

Bailouts

BANKS got us into a mess and now they flee ??

GOOD. Don't let the door hit your arses on the coward flight OUT

Haven't heard, although know people in the financial sector in London who are on notice for possible redundancies, so might be a 'worse case plan.

The idea that it's fine if they go is odd - we do kind of need the tax they pay and the high wages, plus all the support roles. Do we have a plan to replace them or just cut public services more as we'll have less to spend?

It was 20 back in April

www.independent.co.uk/news/business/brexit-latest-banks-commit-frankfurt-germany-eu-london-goldman-sachs-a8294651.html

not sure how many now, as unless there are regulatory reasons, banks are not required to announce their business plans to all and sundry.

I think it’s highly likely that more international companies will start moving HQ. The lack of certainty and apparent inability of our politicians to work together will not be providing businesses with the assurance they want. The childish response to Land Rover by a cabinet minister was stunning ( can’t remember name but it was on Today programme this week) and I suspect a lot of boards will be looking at that and going ‘let’s move to somewhere more grown up’

Banks - issue with them moving historically Britain has been seen as somewhere to do business - access to finance, fairly relaxed regulatory environment. Now with Brexit, that is less certain and lack of financial services will send a clear signal that Britain isn’t a good business environment.

The ferries and flights out immediately before 29th are going to be hellishly busy.
BMW stuffing assembly robots into the back of the last built minis on a trip over to Calais.

Britain has been seen as somewhere to do business

The death of that fairy tale was signalled when the holder of one of the great offices of state was happy to go on record as saying "Fuck business". A statement that has never been retracted, or addressed by the Prime Minister.

We may not take Boris seriously. But other countries do respect the office of Foreign secretary, and so take it as seriously as you take anything a Foreign secretary says.

They really have no choice, if there's a hard Brexit and they continue to be based in the UK (that is, London), they will automatically lose the "banking passport" or however it's called, as the UK will become a non-EU jurisdiction, just like Nigeria or the USA. Therefore, in order to continue trading within the EU financial market they would need to move their headquarters and possibly also their EU related trading somewhere within the EU. I'm not familiar with exactly what they would have to move and what could remain, maybe they could create subsidiaries instead of moving the whole company, but in any event the percentage of their business operations that would need to be moved (including jobs, taxes, office rentals, ancillary services, etc.) would be substantial, it's not a secret. This whole operation is a major undertaking and cannot be improvised, and besides, they cannot be seen not to have contingency plans to continue trading normally after whatever happens in March or their stock prices would implode.

Before someone says "but they could trade with any other country", yes, of course, but no company in the world would accept to lose their biggest market overnight, not to mention the fact that certain major international banks chose London as a base for their European operations. That means that if there's no trading within the EU financial market, they have no reason to stay (or a very diminished one).

I know of some banks that are building new HQs in London - eg Goldman Sachs in Faringdon Road. I know the ECB has allegedly said all staff have to move, but if that's actually true, the remote working revolution appears to have passed them by. It might be necessary to have a few staff (and that could be a few hundred/thousand) in an EU country, but I imagine a great deal of the work can be done from any location. Is the ECB really saying that you have to be EU-state-office bound?

Is the ECB really saying that you have to be EU-state-office bound?

I think ECJ jurisdiction is the key.

HSBC may not be moving their HQ out of London (other banks currently available) - but a number of jobs moved to Europe very shortly after the vote. I did work in the City but as it was clear a hard brexit was going to be the most likely scenario (along with losing my livelihood) I moved overseas earlier this year. Really without passporting rights into the EU (which requires free movement as this is a fundamental EU principle) it’s not looking good!

Yes, it's always been so, not a new rule by any stretch of the imagination. Otherwise you would see banks delocalise themselves to tax havens, don't you think? They don't stay put out of the goodness of their corporate heart's, they have to. Nothing to do with Brexit but of course it brings consequences because of it.

Corporate hearts, obviously, autocorrect strikes again.

My previously list of City institutions was as follows:

Moves or reductions

Hiscox
Goldman Sachs
JP Morgan
Standard chartered
UBS

Not forgetting moves of EU hubs at

•Standard Life Aberdeen, to Dublin.

•Sumitomo Mitsui Financial Group Inc. to Frankfurt
•Daiwa Securities Group To Frankfurt
•Insurer Admiral Group to Spain

•T Rowe etc to Luxembourg

•Barclays EU headquarters to Dublin.

•JPMorgan chase to Dublin

•Bank of America to Dublin.

•Lloyd’s of London to Brussels

•LONDON - Mizuho, one of Japan's "Big Four" banks,to Frankfurt

•Travelers Europe to Dublin

•US insurer AIG to Luxembourg

•Citigroup Inc to Frankfurt

•Frankfurt also Standard Chartered

•Deutsche Bank trading and investment-banking assets from London Frankfurt.

•Nomura Holdings Inc -Frankfurt

•EMA to Amsterdam

•Paris -European Banking Authority

There's been loads more since then though. I kept meaning to update my list but haven't yet done so..

Don't know if the link will work but there's a doc on Facebook with a list of businesses including some banks affected...

docs.google.com/spreadsheets/d/e/2PACX-1vTIPx0lI6pb-3Tn-3D6uNJNyKcCd-A8uPMxViagyJAR9T87ZmnSdAEPCzp5ljlNYoUNdxJiJqQdBm7b/pubhtml

Of course it is possible to work remotely but the company (or business division that has been spun off, whatever) needs to be legally domiciled in an EU country. And guess where they will be required to pay their taxes...

Once that happens, I cannot imagine that it would make much sense to continue hiring in their old location because humans being humans, they like actually seeing butts on chairs and being able to hold meetings face to face, etc. It may not happen overnight but those high paying jobs will migrate and with them the indirect economic activity that they generate.

My company opened a Berlin office as direct result of the Brexit vote. The London office will stay open, but investment by the US parent company is now moving to Germany. I suspect in two to five years, the Berlin office will be the European headquarters rather than London.

There were no plans to open a Berlin office before the refendum result.

The company I work for has expanded its Luxembourg office and is moving various UK domiciled funds to Luxembourg. We are not the only ones.