London to lose €800bn to Frankfurt over Brexit

London could lose up to €800bn in assets to Frankfurt after Brexit as banks start to transfer their headquarters to the German financial hub ahead of the March 2019 withdrawal.

The lobby group Frankfurt Main Finance released its figures on Thursday, confirmed that 30 banks were moving their EU headquarters to the city and taking their assets with them.

This could mean draining billions of pounds worth of assets from London to companies’ German operations within months.

Lloyds, Standard Chartered, Credit Suisse, Citigroup and Nomura are among the banks that are planning their HQ move to Frankfurt.

“All in all, we expect a transfer of €750bn to €800bn in assets from London to Frankfurt, the majority of which will be transferred in the first quarter of 2019,” said Hubertus Väth, the managing director of Frankfurt Main Finance.

“Banks are faced with the choice of either relocating only what is absolutely necessary or preparing for the relocation of the entire business,” Väth said.

“In any case, it is clear that considerable second-round effects will follow,” he added.

According to The Guardian, the City minister, John Glen said in October that Britain is likely to lose about 5,000 City jobs by the time of Brexit day in March next year and Frankfurt Main Finance added to that tally saying 10,000 jobs could move to Frankfurt by 2022.