Brits battle Brexit loss of financial jobs
DESPITE thousands of jobs being set to move to the continent as a result of Brexit, Britain’s financial services minister said he would do all he can to ensure the City of London remains a major financial center.
John Glen told politicians that he agreed with Bank of England estimates that 5,000 financial services jobs will have moved to continental Europe by the time Britain is due to leave the European Union next March.
Unsure of Britain’s future trading relations with the EU, financial companies in the UK are looking to open hubs in Paris, Frankfurt and elsewhere.
“Clearly we are in a dynamic negotiation where the French in particular have sought to leverage as much advantage due to the uncertainty,” Glen told a committee in the House of Lords. “My sole objective in respect of the City is to ensure as much continuity as possible in respect of the economic value that is able to be generated by the City.”
Glen said he “fully expects” that Britain and the EU will agree on a deal that would introduce a transition period from next March to avoid a disorderly Brexit.
While many companies are yet to make firm commitments to move staff, they are negotiating options on space in Amsterdam, Paris, Frankfurt and Dublin that will allow them to quickly scale up, said Sophie Van Oosterom, chief investment officer for commercial real estate and investment firm CBRE in EMEA.
“So if there is a soft Brexit they will stay put and if something dramatic happens they can flick the switch,” she said.