Global investment banks including Bank of America (BofA), JPMorgan and Deutsche Bank are planning to outsource 3,000 jobs from London to other UK cities and towns over the next few years, due to increasing operational costs.
Sources familiar with the matter were cited by Financial Times as saying that BofA is considering to relocate nearly 2,000 back- and middle-office employees as well some jobs of operations, human resources and finance to ManChester over the next decade.
JPMorgan, with a 14,000 UK workforce, is likely to drive nearly 1,000 jobs from London’s Canary Wharf to Bournemouth over the next three years, while outsourcing similar number of lower-grade jobs to Asia.
Germany based Deutsche Bank will relocate its ‘front office’ jobs from London to Birmingham, where it has 1,300 wealth management as well as back- and middle-office staff.
Additionally, it will recruit approximately 25 fixed-income sales traders in Birmingham for institutional clients, while establishing an equity sales team in the region.
According to data compiled for the Financial Times, eight of the UK’s 10 largest financial centers have lost thousands of financial and professional jobs over the past three years.