Global banks rethink leaving London amid chaos in France and Germany
Share:
Global banks are rethinking moves from London to mainland Europe as political chaos engulfs the Continent, The Mail on Sunday has been told. Lenders have been gradually shifting operations to cities including Paris and Frankfurt since the UK left the European Union – in some cases because they are obliged to by European regulators.
But with the French government collapsing and Germany in turmoil, some are pausing any non-essential moves. A senior banking source said the mood had changed since the summer, when French elections plunged the country into chaos. With France and Germany a 'mess', the UK now 'doesn't look so bad', the source told The Mail on Sunday.
The French have not been shy about luring bankers and others to Paris. Adverts promoting a move across the Channel have appeared in UK newspapers saying: 'Make It Iconic. Choose France.'. In 2016 France vowed to make its tax regime for expats the most attractive in Europe and then prime minister Manuel Valls said Paris would become 'the financial capital of the future'.
High hopes: London is looking more attractive, after Macron has left France seeming unstable. Emmanuel Macron, the president – himself a former investment banker – has been instrumental in the push. It has not been without results, with US bank JP Morgan opening a trading hub in Paris in 2021 in an event attended by Macron.
