Standard Chartered chief’s warning over Brexit jobs exodus

A Standard Chartered bank executive says tough demands by EU regulators could mean more jobs being moved from the UK overseas than currently thought.

The European Central Bank has said it will not allow companies to have a presence in a country in name only.

Europe and Americas boss Tracy Clarke told the Press Association that means banks such as the UK-headquartered Standard Chartered may end up moving more jobs due to Brexit than originally planned, in order to meet European banking compliance rules.

“For us, it still won’t be hundreds more people because of the size and scale of our business, so you might be talking a few more for us.

“But if they’re taking this approach with all other banks who are much bigger than we are in terms of their European business, that could be more significant.”

Standard Chartered is to spend about £15m turning its Frankfurt office into a European base due to Brexit.

The bank plans to create a subsidiary at its German branch in order to maintain access to the European market after the UK withdraws from the EU.

One of Germany’s largest pension providers has said it is attracting business from foreign banks responding to the UK’s impending departure from the European Union.

BVV, a pension provider for the financial sector in Germany, today announced that Standard Chartered Bank had chosen to partner with it to offer pensions to its staff in the country.

Standard Chartered has been waiting around nine months to receive a banking licence.

“Because we were one of the first there was no precedent for us, or for them. It’s been a learning process on both sides,” Clarke told PA.

ABOUT THE AUTHOR
Pedro Gonçalves
Pedro Gonçalves is Financial Correspondent at International Investment.

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