An investor at Canary Wharf -based HSBC claims it would back the bank if it left the UK.
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Standard Life equities head David Cumming said HSBC could be “very close to losing patience” as banks are being required to meet “ever-increasing capital requirements”. However, Chancellor of the Exchequer George Osborne has subsequently pledged to phase out the levy.
He said shareholders would support the decision because they would receive “better growth, earnings and dividend prospects” if the bank moved out of the United Kingdom “unless the regulator changes tack”.
HSBC has said it will make a decision on a possible move away from London by the end of the year.
The bank has not yet said where it may consider moving to, although many expect Hong Kong to be high on the list.
‘But I think this ongoing process of continually… moving the goalposts and with the Financial Policy Committee coming up with new wheezes in terms of getting the banks to hold more capital – I think HSBC are very, very close to losing patience with this never ending process’.
It has had its headquarters in the United Kingdom since 1992, but makes most of its money overseas, with Asia accounting for about 80% of its profit.
Earlier this year, HSBC unveiled plans to cut over 20,000 jobs worldwide, with around 8,000 losses expected in the UK.
The bank caused political shock waves when it put the location of its head office up for review in April, as the general election campaign was under way.
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“As part of the broader strategic review taking place, 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. But the work is underway”.
