Brussels (Brussels Morning) Approximately 1,000 financial sector companies from the EU are looking to open offices in the UK in the wake of Brexit, according to Bloomberg reporting.
About two-thirds of the 1,500 or so financial sector companies that applied for permission to continue operating in Britain lacked offices there, according to UK Financial Conduct Authority (FCA) records obtained by the financial services consultancy Bovill.
Ed O’Bree, partner at Bovill, pointed out that these companies “were operating on a services passport prior to Brexit, which means they did not have a permanent office in the UK”.
He predicted that the companies in question would likely seek professional consulting services as well as invest in real estate in the UK to set up offices there.
France, Germany, Ireland and Cyprus top the list
Companies from France, Germany and Ireland account for 584 of the 1,500 or so applications to operate in the UK, followed by counterparts from Cyprus who have lodged 151 applications.
FCA records show that more than 400 insurance companies are seeking approval for operations in the UK, as are about 100 retail and wholesale banks.
The figures are in line with the data that Bovill released at the start of 2020. The potential influx could help the UK’s financial sector, which is under threat following Brexit and losing its dominant position in Europe.
Amsterdam overtook London as the largest stock trading hub in Europe this year as the relocation of bankers to the EU continues.
According to the latest Chartered Institute of Personnel and Development survey, approximately 56% of companies in the UK are planning to hire staff in the first quarter of the year, BBC reported today.
Survey results show that most of the hiring needs are in healthcare, finance, insurance, education and ICT sectors.
In addition, the ratio of companies planning staff cuts dropped from 30% in the final quarter of 2020 to 20% in the first quarter of the year.