HSBC to remain in London
(10 February 2016 – Europe) HSBC looks set to remain in London following 10 months of internal discussions.
Sources have said chief executive Stuart Gulliver has backtracked on his earlier stance of leaving the UK, highlighting a more stable economic and market environment compared to that he expected a year ago.
Spurred by European banking sector regulations, and domestic tax hikes, Gulliver was a key voice pushing move to Hong Kong.
The board has yet to make a formal decision, and is expected to come to an agreement around the announcement of its full year results on 22 February.
The bank’s headquarter decision would mark an end to a distracting period of uncertainty about its long-term plans.
HSBC announced in April 2015 that it was considering a move out of London - potentially returning to its roots in Hong Kong or moving to another financial hub such as Paris or New York.
Following that announcement, East & Partners found that more than 50 percent of the bank’s UK corporate customers would “reconsider” their banking relationship. Further two percent of those customers interviewed (248) said the move would help them, while 60 percent said it would benefit the bank.
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