JPMorgan to move UK staff to Europe
DUBAI/LONDON: JPMorgan Chase & Co plans to move hundreds of London-based bankers to expanded offices in Dublin, Frankfurt and Luxembourg as it prepares for the United Kingdom to lose easy access to the European Union’s (EU) single market after Brexit, said head of investment banking.
“We are going to use the three banks we already have in Europe as the anchors for our operations,” said Daniel Pinto on Tuesday in Riyadh, referring to its local entities.
“We will have to move hundreds of people in short term to be ready for day one, when negotiations finish, then we will look at the numbers in long term.”
Global banks are preparing to move some London-based operations into new or expanded bases inside the EU after British Prime Minister Theresa May triggered the formal mechanism for quitting the 28-nation bloc.
Before the June referendum, JPMorgan chief executive officer Jamie Dimon told UK employees that as many as 4,000 could be relocated in the event of Brexit.
JPMorgan is just the latest bank to flesh out its plans for Brexit as the countdown ticks away toward Britain’s March 2019 withdrawal from the bloc.
Deutsche Bank AG said last week it might move 4,000 staff from London, Barclays Plc said it would activate its contingency plan within six months, while Goldman Sachs Group Inc said it would likely begin relocating positions next year.
Frankfurt and Dublin are the favoured destinations. Standard Chartered Plc and Barclays are considering the Irish capital for their EU base, while Goldman Sachs and Morgan Stanley are weighing Germany’s financial hub.
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 jobs. Bloomberg