5% increase in financial services firms planning Brexit move

There are now 77 financial services firms out of a survey sample of 222 that have said they will move some of their operations or staff out of the UK in response to Brexit.

EY, the business consultancy, said the 77 firms – or 35% of the total sample – represented a rise of 5% since this time last year.

The survey included 57 wealth and asset managers and 22 have said publicly they would move or were considering moving people or jobs from the UK. This was up five from 17 firms last year.

The roles that are to be moved by financial services firms as a whole are mainly in the front office (57%). Middle office roles made up 23% and back office roles made up 20%, according to the ‘EY Brexit tracker’.

Many firms were said to be planning to fill these roles by hiring locally rather than moving existing staff. It is estimated that over 2,500 new Brexit-related jobs have been or are in the process of being created in financial services across Europe since the UK’s EU referendum, with 500 new roles in London.

Dublin and Frankfurt “remain frontrunners” in the choice of relocation, but Luxembourg and Paris are increasingly popular, while Madrid and Milan have gained traction with investment banks.

Omar Ali, UK financial services leader at EY, said: “Firms are no longer merely talking about their plans. Across Europe, the wheels are in motion on relocation and hiring strategies as firms make their ability to serve clients from day one of Brexit their number one priority.”

Twenty-eight universal banks, investment banks and brokerages (of the 48 monitored) were among those firms who said they were considering moving, or will move, people or jobs out of the UK.

©2018 funds europe

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