Sign up to our free Brexit and beyond email for the latest headlines on what Brexit is meaning for the UK
Sign up to our Brexit email for the latest insight
James Gorman, the chief executive officer of Morgan Stanley, said he expects to move some of its staff from London to the continent following UK’s vote to leave the EU.
Gorman said he changed his travel plans to visit London earlier this week, in an interview with CNBC.
Gorman said Britain’s decision to leave the EU bloc means Morgan Stanley will need to set up headquarters on the continent and potentially reshuffle some of its employees.
“Clearly we and other banks will have to have a European-style headquarters in one of the major markets, whether it's Frankfurt or one of the other cities there,” Gorman said.
However he sought to reassure his employees: “London is going to remain a critical part of our footprint.”
“We're not having a knee-jerk reaction here. This is going to unfold over at least a five-year” timetable,” he added.
City institutions had warned prior to the vote that leaving the EU could mean job losses and movement of operation to the continent.
Morgan Stanley’s statement came after sources told the BBC that the process was already underway.
6 ways Britain leaving the EU will affect you
Show all 6
“The UK’s vote to leave the European Union is a very significant decision which will have a considerable impact, the extent of which will not be known for some time,“ a spokesman for Morgan Stanley said.
“There will be at least a period of two years before an actual exit takes place, so there will be time to implement any changes required to adjust our business to the new environment. Morgan Stanley will continue to monitor developments very closely and will adapt accordingly while prioritising the interests of our clients, our shareholders and our employees,” he added.
Join our commenting forum
Join thought-provoking conversations, follow other Independent readers and see their replies
Join our commenting forum
Join thought-provoking conversations, follow other Independent readers and see their replies