UBS Flags $100 Million in Brexit Costs as It Eyes Frankfurt Hub
UBS Flags $100 Million in Brexit Costs as It Eyes Frankfurt Hub
(Bloomberg) --
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UBS Group AG, the Swiss bank that’s said to be leaning toward Frankfurt for its post-Brexit European Union headquarters, says it’s facing a bill of more than 100 million francs ($100.5 million) because of Britain’s departure from the bloc.
The Brexit tab, revealed by Chief Executive Officer Sergio Ermotti on a conference call on Tuesday, will likely include the cost of relocating staff from the City of London and legal bills. HSBC Holdings Plc was one of the first banks to spell out how much the U.K.’s EU departure would cost the company, when it estimated a figure of as much as $300 million a year ago.
International banks with their European headquarters in London are scrambling to have new trading hubs inside the bloc up and running in time for Brexit. EU regulators have made it clear they expect banks to establish full-scale, standalone operations within the 27 remaining member states as soon as possible.
--With assistance from Gavin Finch.
To contact the reporter on this story: Jan-Henrik Förster in Zurich at jforster20@bloomberg.net
To contact the editors responsible for this story: Dale Crofts at dcrofts@bloomberg.net, Paul Armstrong, Andrew Blackman
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