US bank JP Morgan has confirmed plans to move thousands of jobs out of London ahead of the Britain’s exit from the European Union to preserve easy access to the EU single market.
“We are going to use the three banks we already have in Europe as anchors for our operations,” said head of investment banking at JP Morgan, Daniel Pinto, in an interview with Bloomberg.
JP Morgan is one of several global banks making preparations to move some London-based operations into new or expanding bases in the EU. Frankfurt, Dublin and Luxemburg are among the most desired locations.
Before last year’s referendum, J P Morgan’s chief executive officer Jamie Dimon told UK employees that in the event of Brexit as many as 4,000 employees could be relocated. Stating the need to “plan for a scenario where there is no UK-EU passporting deal” and their commitment to “continue serving our EU clients”.
JP Morgan is the latest bank to announce plans for Brexit as Britain prepares to leave the EU in March 2019. Last week, Deutsche Bank has said it has plans to move 4,000 staff from London. US bank Goldman Sachs, Citi Group and UBS are said to be considering moving staff inside the bloc, putting in place contingency plans.
The Chief Executive of the London Stock Exchange Xavier Rolet has warned that Brexit could “cost the city of London up to 230,000 jobs” if the government fails to provide a clear plan for Britain, stating LSE customers simply “would not wait” for clarity over Britain’s divorce from the EU before moving.