Credit Suisse is exploring options for expanding in Dublin as the UK moves closer to exiting the EU.
It is believed Dublin is emerging as a favoured location for the bank's so-called back-office jobs. The Zurich-based bank is also understood to be considering cities including Frankfurt as it develops plans for moving jobs to adapt to Brexit.
Credit Suisse board member Noreen Doyle said in Dublin on Tuesday that the bank was in the "early stages" of examining alternatives to the UK as it plans for Brexit's implications.
Ms Doyle said the lender was "very pleased" with its existing Dublin operation as it made the city its primary hub for servicing hedge funds in Europe. Taoiseach Enda Kenny opened the firm's trading floor last year.
The company’s executives are “exploring solutions to various outcomes including a hard Brexit and are refining our indepth analysis”, a Credit Suisse spokeswoman said. “We are exploring all options, and do not have a preferred location at this point in time.”
Passporting
The Republic is seeking to present itself as a favoured destination for financial firms based in Britain that want to retain “passporting” rights which allow them to do business within the EU.
Standard Chartered has approached Irish officials about making Dublin its legal base inside the EU, sources said in December.
Citigroup is evaluating the capital along with other cities, European regional chief Jim Cowles said this week.
Credit Suisse has banking operations in Frankfurt, Luxembourg and Milan, as well as branches in Lisbon, Paris and Dublin.
Credit Suisse’s Dublin operation is classified as a third-country branch rather than a full subsidiary, so it may need additional regulatory clearance to become a base for passporting into the rest of the EU.
It is understood that Credit Suisse is leaning away from Frankfurt because of the cost of living and the difficulty of luring employees to the city,.
"We already provide a comprehensive range of services to our clients through both our London operations and a number of different subsidiaries and branches across the Continent," the bank spokeswoman said. "This provides us with the flexibility to respond to potential changes in the UK and EU financial services industry in the future." – (Bloomberg)
