HSBC Holdings have announced their decision to keep its headquarters in the UK, after a ten-month review in which it considered a move to Hong Kong.
HSBC investigated the move in order to avoid the cost of remaining in the UK, where a tax imposed post-recession cost the bank $1.1 billion in 2014. Hong Kong is the group’s main revenue-generator, and would avoid the UK government’s stricter regulations.
“We had no negotiation with the government,” HSBC Chairman Douglas Flint told BBC radio on Monday. “The government was very well aware of our view, indeed the view of many other people who commented on it, but there certainly was no pressure put on, or no negotiation”.
The bank has now confirmed that it will remain in the UK, adding that London “offered the best outcome for our customers and shareholders”. This will be seen as a vote of confidence for the UK during a turbulent time in the run-up to an EU referendum.
“We had no negotiation with the government,” HSBC Chairman Douglas Flint told BBC radio on Monday. “The government was very well aware of our view, indeed the view of many other people who commented on it (the bank levy), but there certainly was no pressure put on, or no negotiation”.
15/02/2016
