HSBC adds Toronto, Canada as possible location of new headquarters
Dec 21, 2015 10:19 AM EST
HSBC has added Toronto to the list of possible cities for the heavily speculated relocation of their headquarters. Several discussions between the bank's executives and Toronto Mayor John Tory have also been made.
Aside from New York and Hong Kong, HSBC is also eyeing on Toronto, Canada as a potential site for their new headquarters. The bank's current office is in London, UK. However, as reported by Business Insider, London's changes in corporate tax and increased regulation are rumored pose threats to the bank's profitability.
"Toronto is a . . . global financial services capital, and we just felt that when we saw news of them taking a look at moving their head office that we should be a part of that", Mayor John Tory said to Toronto Star. "If you don't participate, then you don't learn and if you don't participate, then you certainly can't win. So, we've put our best foot forward . . . The rest is in the hands of the gods, as they would say.", he added.
Canada is believed to be a promising candidate for HSBC as its largest operation in North America is currently situated in the area, and the country's major banks' operational headquarters are also in Toronto.
However, as reported by Huffington Post, USA's economy could prove to be an edge for New York as HSBC is apparently considering the latter's economy as "big enough to be able to comfortably welcome a bank of its size."
it is also possible for HSBC to return to their previous location in Hong Kong, but as reported by The Week, the region's recent results and the increasing political influence of the mainland are the issues posed for the transfer.
Despite these rumors of relocation of the headquarters, whispers around the topics suggest that it could only be a strategic action to get the UK government's attention which seems to be working as they've recently introduced a bit of leniency on the senior bankers.
HSBC currently has 50,000 employees in the UK, and its transfer could greatly affect the economy of the country.