HSBC ‘plans to move 1,000 jobs to Paris’ due to Brexit

Global bank with assets worth £1.9 trillion will relocate staff if UK leaves single market

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The Independent Online

HSBC is planning to move up to 1,000 staff from the UK to Paris due to Britain's narrow vote to leave the EU.

The leading global bank, which has assets worth $2.6 trillion (£1.9 trillion), has said it will relocate the jobs if the UK leaves the single market, a possible outcome of post-Brexit negotiations, according to the BBC.

It is possible the UK could leave the EU but remain a part of the European Economic Area (EEA), in a model similar to that of Norway, Iceland and Liechtenstein.

Employees at HSBC in Canary Wharf, who already process payments made in euros, would join the 10,000 currently based in the French capital under the plans.

A number of other large financial companies including Morgan Stanley, BNP Paribas and JPMorgan have reportedly also made plans to reduce the size of their businesses in the UK, following the referendum result on Thursday.

HSBC currently employs around 48,000 people in the UK, and around 260,000 across the world.

HSBC, which carries out a significant amount of its business in Asia, considered moving its headquarters to Hong Kong earlier this year.

But the company decided to remain in London in part due to the city's status as the main financial centre of Europe.

Douglas Flint, HSBC's chairman, said on Friday: "The work to establish fresh terms of trade with our European and global partners will be complex and time consuming.

"We will be working tirelessly in the coming weeks and months to help our customers adjust to and prepare for the new environment."

François Villeroy de Galhau, governor of the Bank of France, said this week: "It would be a bit paradoxical to leave the EU and apply all EU rules, but that is the solution if Britain wants to keep access to the single market.

"The City cannot keep this European passport and clearing houses cannot be located in London either."

HSBC forecast this week that inflation could increase to 4 per cent within 18 months after the pound sterling’s Brexit-induced collapse.

HSBC declined to comment.