The Globe and Mail reports in its Saturday, April 25, edition that HSBC Holdings, Europe's
biggest bank, has ordered a
review into whether it should
move its headquarters out of
Britain and potentially back to its
former home in Hong Kong,
threatening London's reputation
as a global hub for finance and
investment. A Reuters dispatch to The Globe reports that the announcement
from HSBC, founded in Asia but a
key part of the British establishment,
prompted a warm response
from Hong Kong, where it
is revered as "The Bank," and
silence from the British government.
Chairman Douglas Flint
singled out the threat of Britain
withdrawing from the European
Union in a speech to investors on
Friday.
Mr. Flint said: "The board has therefore now asked management to commence work to look at where the best place is for HSBC to be headquartered in this new environment. ... The question is a complex one and it is too soon to say how long this will take or what the conclusion will be, but the work is under way."
Reuters says HSBC executives are also looking at quitting London for Asia because a big jump in Britain's bank levy made staying financially painful. Investors want the bank to do a thorough analysis.
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