Huw Jones

LONDON (Reuters] – Nearly 7,000 jobs in finance have been transferred from London to the European Union due to Brexit. That’s 400 less than what was expected for December, according consultants EY.

The total number of job movements is still quite low compared to the 12,500 predicted by companies in 2016 when Britain voted out, but more may follow, EY stated in its most recent Brexit Tracker.

EY reported that there are 2,900 new hires in Europe linked to Brexit, while 2,500 were in Britain. This is a country where nearly 500,000 people work in financial services.

EY stated that further relocations may be possible as the European Central Bank inspects whether EU Brexit hubs opened in London by banks using London as their European headquarters have enough staff to warrant their new licenses.

These are being scrutinized by the Bank of England to ensure that banks in London do not have too many senior employees.

Omar Ali (EMEIA Financial Services Leader at EY) stated in a statement that “Staff will continue to move across European financial market as firms navigate ongoing Geo-political uncertainties, post-pandemic dynamics, and regulatory requirements.”

Dublin is the top destination for new and staff relocations. Luxembourg, Frankfurt, and Paris are close behind.

EY stated that Paris was the most successful city in attracting London jobs, with 2,800. Frankfurt came next at 1,800 and Dublin, at 1,200.

EY stated that the transfer of assets between London and EU hubs is still around 1.3 billion pounds (or $1.67 trillion). It also said that Brexit staff movements are now part of an expanded view of operational models and strategic business drivers.

Privately, bankers stated that it might not be economically profitable to maintain large hubs in London or the EU in the long-term.

($1 = 0.7637 pounds)