Deutsche Bank Expects to Shift 4,000 UK Jobs to EU After Brexit
Berlin: Deutsche Bank AG envisions shifting almost half its UK positions to the European continent over coming years as the lender’s Brexit plans take shape, people briefed on the matter said.
Most of the 4,000 positions will move to Frankfurt and Berlin under the bank’s base case scenario, the people said, asking not to be identified discussing internal planning. Deutsche Bank will start relocating jobs next year at the earliest once it has dealt with regulatory approvals and other preparations, another person said. No plans have been finalised and numbers could still change depending on the UK’s talks with the European Union, the people said. Deutsche Bank’s scenario underscores how executives are increasingly preparing for a hard Brexit, something Chief Executive Officer John Cryan told employees last month. HSBC Holdings Plc, Europe’s biggest lender, is planning to move about 1,000 roles from the UK, and JPMorgan Chase & Co has said 500 to 1,000 jobs may initially be shifted. Deutsche Bank’s planned moves are more dramatic, in part because Brexit-related changes dovetail with a new turnaround plan at the German lender that emphasises its home market.
“Brexit probably contributes to this shift and makes it more radical,” said Michael Huenseler, who helps manage about 20 billion euros ($23.7 billion) at Assenagon As s e t Mana g e me n t S A in Munich, including Deutsche Bank shares. “The surprise is that this shift isn’t taking place more gradually.”
An official for Deutsche Bank declined to comment.