Banks step up plans for Brexit relocations

A growing number of banks are implementing plans to relocate staff from London to European hubs amid growing fears of a 'hard' Brexit next March.

Banks step up plans for Brexit relocations
Banks are beginning to implement plans to relocate staff from London to Europe ahead of Brexit. Citigroup has announced plans to move 63 jobs – 45 from its trading unit and 18 from its private bank - from London to Frankfurt and other European countries, while Commonwealth Bank of Australia, the country’s largest lender, has applied for a banking licence in Amsterdam, where it plans to move 50 jobs currently based in London.

Relocate or face losing your job

Meanwhile, Société Générale, which currently has a 4,000-strong London workforce, has become the first major City employer to warn staff that they must either relocate to Paris or face losing their jobs, according to a report in The Times on Friday.Previously, SocGen has said it was drawing up contingency plans to move above 300 jobs in its financial markets division from London because of Brexit. The bank told The Times in a statement, "In the event of a loss of passporting within the Brexit framework, some roles within the financial services industry that are currently performed out of the UK will no longer be able to be performed from here for regulatory reasons."We are actively engaged with a small number of staff initially impacted to help them make decisions about moving to the EU. For those staff wishing to move, we are fully committed to supporting them."If their role ceases to exist due to Brexit and they do not wish to relocate to the EU, then we will make every effort to support them through redeployment opportunities within the group."The bank remains fully committed to the UK... and will continue to provide high quality financial services to its UK, EEA and international clients from London, Paris and its international branches across Europe and worldwide."

One third of financial companies considering a move

A recent survey by EY found that 77 of 222 leading financial companies in London were considering moving some operations or staff to elsewhere in Europe. These included 28 banks and brokerages, 22 wealth and asset managers, and 15 insurers and brokers. 
Events to help your company to operate effectively in Europe:
The Financial Times reported this week that the decision by the Commonwealth Bank of Australia (CBA) to move staff to the Netherlands reflected the fact that " Australia’s top banks are stepping up their preparations for Brexit".The FT added, "Echoing peers around the world, Australia’s other big banks are also accelerating their plans for Brexit. Macquarie Group has chosen Dublin as an EU passporting hub, while Westpac is eyeing Frankfurt, according to a person familiar with the situation. National Australia Bank is 'considering all options' for a post-Brexit solution, according to a spokesman."CBA said in a statement, "The bank has developed a strong position in Europe across a range of segments and we are working to ensure we can continue to provide the best service to our customers, while limiting disruption to existing business and our employees.“We are currently pursuing the establishment of a new CommBank subsidiary with a full banking licence, to be located in Amsterdam.”For related news and features, visit our Brexit section.Relocate’s new Global Mobility Toolkit provides free information, practical advice and support for HR, global mobility managers and global teams operating overseas.Global Mobility Toolkit download factsheets resource centreAccess hundreds of global services and suppliers in our Online DirectoryClick to get to the Relocate Global Online Directory

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