Deutsche Bank Ex­pects to Shift 4,000 UK Jobs to EU Af­ter Brexit

The Economic Times - - Around The World -

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.

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