Credit Suisse Group is planning to move some jobs from London to Ireland as it cuts costs at its investment bank, according to two people with knowledge of the matter.
Switzerland’s second biggest bank has applied to Ireland’s Central Bank for permission to set up a branch in Dublin, the people said yesterday. The sources asked not to be identified as the talks are private.
One of the sources said the bank plans to relocate some business in prime services, which includes lending securities and cash to hedge funds and settling trades for them. Some general support functions and IT operations may also be moved, the person said.
The number and type of jobs have not been decided, as the Central Bank has still not approved the plans to open a branch, the two people said. Credit Suisse wants to establish a branch in Ireland for its main Swiss unit, Credit Suisse AG, according to one of the people.
It has been reported the bank may move as many as 200 jobs to Ireland from London. Katie Philpott, a spokeswoman for the Central Bank, declined to comment. A spokeswoman for Credit Suisse did likewise.
Banks are under pressure to cut costs as complying with regulation takes a toll on profitability. Credit Suisse shares surged in February when it announced additional cost cuts and said it aims to boost its leverage ratio, a measure of capital versus assets, in anticipation of stricter rules.
Credit Suisse earlier this month said it hired Tidjane Thiam as a replacement for chief executive, Brady Dougan. Mr Thiam’s arrival in June does not appear to have changed the bank’s plans in Ireland, one person familiar with the matter said.
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