Bank of England predicts 75,000 finance jobs lost due to Brexit

bank of england
Following Britain’s departure from the EU, The Bank of England have claimed that up to 75,000 jobs could be lost in financial services.

The BBC report from economics editor Kamal Ahmed predicted the job losses for after the country leaves the European Union in 2019.

Referencing senior figures, the broadcaster reported that Bank of England was using the 75,000 number as a “reasonable scenario”, based on a situation under which a deal is struck between the EU and the UK.

Ahmed wrote: “I am told the Bank believes that many jobs will move to the continent.

The Bank of England has asked banks and other financial institutions, such as hedge funds, to provide it with contingency plans in the event of Britain trading with the EU under World Trade Organization rules – what some have described as a “hard Brexit”.

That would mean banks based in the UK losing special passporting rights to operate across the EU.”

The Bank of England have declined to comment on the report.

BBC also reported that the number could change depending on the final trading relationship agreed between the two sides.

A Reuters survey of firms with a significant amount of international finance workers showed that almost 10,000 finance jobs would be shifted out of Britain or created overseas in the next few years.

Frankfurt is predicted to be the most popular destination, with Madrid, Paris and Dublin other contenders.

The BBC on Tuesday reported that the Bank of England believes the 10,000 jobs figure is likely to be the “day one” of Brexit number if no deal is struck.

According to the chief executive of the London Stock Exchange, Xavier Rolet, Brexit could potentially cost London up to 200,000 jobs if the Government fails to work out an effective post-Brexit strategy.

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