18
NEWS
Bank of England foresees 75,000 job losses due to Brexit
T
he Bank of England has stated that up to 75,000 jobs might be lost in financial services as a result of Brexit. This number, which was described as “reasonable”, could
change depending on UK’s position in relation to the EU – however, substantial losses are expected.
As a result, the Bank of England has asked banks and other financial institutions to provide it with contingency plans in the case of a “Hard Brexit” – which would mean many UK banks wouldn’t be able to operate across the EU.
The EU could also impose other “locations specific” regulations such as where trading in trillions of pounds worth of euro-denominated financial insurance products has to be based. As a result, many of the related jobs could be moved to Paris or Frankfurt.
A poll by Reuters suggested the number of job losses would be just below 10,000 in the “few years” following Brexit, a figure that the
Bank of England estimated to be just for “day one”.
According to BBC News, Xavier Rolet, the chief executive of the London Stock Exchange, has suggested that over 200,000 jobs could go.
Even if the original Bank of England figure is true, London would still be by far the largest financial centre in Europe with over one million people employed in financial services. The UK would still enjoy a healthy trade surplus in financial services with the rest of the EU worth many tens of billions of pounds. Plus, many also believe that since the City supports many governments and businesses on the continent in raising funds and executing global deals, the capital would have a privileged position.
Before the referendum, many banks suggested that they may move thousands of jobs, but since then banks have been less foreboding, including JP Morgan and the Swiss bank.
Millennials ditching branches for mobile banking apps
N T
early seven in ten (69%) millennial Brits manage their finances exclusively through mobile, according to research launched by
Visa.The figure, which arrives after the bank announced a 2.5% rise in net profit, represents around 12% of its entire workforce
Visa’s third Digital Payments study found out that this pocket of demographics, aged between 18-34 say they have used a mobile banking app, with more than half (53%) noting that they do so
regularly. By comparison, 38% of total respondents across the country (of all ages) regularly conduct their banking via an app.
Over a third (34%) state to have made P2P payments via mobile, but millennials go up to 59% in this category. Regarding biometrics, 35% of 18-34 year-olds would prefer to make P2P payments using biometrics, compared with a national average of 30%; while 37% would like to use this technology in conjunction with a banking app, compared to 31% of total respondents.
Hong Kong, Singapore, Taiwan and Switzerland join fintech forces
he FinTech Association of Hong Kong (FTAHK) has signed three separate Memoranda of Understanding with the Singapore FinTech Association, the Swiss Finance
+ Technology Association and the Taiwan FinTech Industry Development Association. These agreements were signed during the Hong Kong FinTech week, which ended on the 27th October. FTAHK and its partners will support the fintech environment in the region,
as places like Hong Kong, Singapore and Taiwan become increasingly important fintech hubs. The associations will also participate in each other’s events, and working their way around Europe’s fintech hubs, particularly in Switzerland, the partnerships will help support a more connected and co-ordinated approach to fintech development across the world. “Collaboration is crucial to the development of FinTech, not just in Hong Kong but globally,” said Musheer Ahmed, of FTAHK.
www.ibsintelligence.com | © IBS Intelligence 2017
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52
