Brexit: City of London will lose 10,500 jobs on day one, says EY
Dublin and Frankfurt are most likely to benefit from UK’s departure from EU, says accountancy firm – By Jill Treanor (theguardian.com) / Dec 11 2017
City firms plan to move 10,500 jobs out of the UK on “day one” of Brexit, with Dublin and Frankfurt the financial centres most likely to benefit from the UK’s departure from the EU.
The job tracker compiled by accountants EY, which counts job announcements to the end of November, found that the number of roles likely to be affected had fallen from estimates of 12,500 a year ago. But it also concluded that the jobs being affected by Brexit were not just the “back office” ones initially forecast, but “front office” staff who deal directly with clients.
Omar Ali, EY’s UK financial services leader, said Friday’s announcement of a first-stage deal, allowing talks to move on to trade, had sent “a wave of relief across the City”.
“It signalled an intention to agree a transitional period as early as possible next year and the starting point for negotiations on future trade deals, both of which are fundamental to avoid adding any additional risks to the system and for the future strength of the UK financial services industry,” said Ali.
Major City firms have started to announce how they will respond to the UK’s exit from the EU after being told by the Bank of England to present contingency plans for all eventualities, including a “hard” Brexit. Last month Sam Woods, a deputy governor of the Bank, warned that 10,000 jobs could leave the City on “day one” after reviewing these plans.
Ali said that firms’ contingency plans had become more detailed over the past year. “The extent of broader strategic restructurings and relocation plans will of course ultimately depend on the specifics of any long-term UK deal with the EU, but a drop in the volume of jobs moving will be welcome news for the City.”
https://www.theguardian.com/politics/2017/dec/11/brexit-city-of-london-jobs-ey-dublin-frankfurt
PB/TK – How long will it take for the UK to renegotiate 100’s of trade laws to make companies stay and feel comfy next to the Queen Mum instead of crossing over to Dublin just like nearly 700 US firms have done in the past 2 decades. Yes many of those were address changes due to acquisitions and not physical moves, but it’s money lost
