31 Jul 2019
The Brexit deadline is just five weeks away, and new Prime Minister Boris Johnson and the EU are already in a stalemate, as neither wants to budge to meet the other. This could result in a no-deal Brexit, and today Michael Gove is chairing the first daily meeting of the new no-deal Cabinet committee. Banks are already preparing for this eventuality it seems, as data suggests many have preparations in place.
Bank of America is setting up a new Paris office and will move around 200 London sales and support staff to the newly refurbished offices ahead of Brexit.
One European chief executive of a US investment bank said: “London would have been the natural choice to hire new bankers.
“Now, after the investment we’ve made in Europe, if someone leaves in the UK or we want to recruit someone, we’re just as likely to base them in Frankfurt or Paris.”
Estimates of jobs being transferred to other European countries rather than the UK are in their thousands.
In the midst of this, the Bank of England has said British banks hold enough capital to cope with a no-deal Brexit and a global trade war simultaneously.
However, a disruptive Brexit would still cause major turbulence for financial markets and the economy.
By Georgina Laud, Daily Express, 30 July 2019
Read more at Express.co.uk
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