Bank delays northern hub plans to focus on economy

‘We are fully committed to expanding our staff presence outside London and the South East’

THE Bank of England has put plans to open a northern hub on hold, in a blow to efforts to make the institution less London-centric.

The Daily Telegraph understands that plans to relocate hundreds of staff to Leeds have been delayed by at least a year as Threadneedle Street scales back its ambition to boost its presence across Britain. An intention to acquire up to 100,000sq ft of office space has also been shelved and recruitment plans frozen as the Bank focuses on the economic crisis.

The Bank announced plans to move staff out of London last April with the creation of a northern hub in Leeds.

The plan was announced with much fanfare and came just weeks after the Treasury named Darlington as the location for its northern base as part of the Government’s levelling-up agenda.

Andrew Bailey, the Bank’s Governor, said at the time that having a greater share of its 4,000 staff outside London and the South East would support the central bank’s mission to serve the whole country. The Bank has faced accusations of being too London-centric, which critics say has fostered groupthink among policymakers.

A Bank spokesman said: “We are fully committed to expanding our staff presence outside London and the South East. It is important that we take time to get this right, not least as post-pandemic ways of working are still being established. Our presence in Leeds will continue to expand, and our intention to create a northern hub there remains.”

The Bank already has operations in Leeds, with its presence there dating back to 1827. However, a cash centre in the city is due to close next February, putting dozens of jobs at risk.