Something close to sensible analysis from the FT, noting this:
Headhunters say that as the recovery picks up and banks look to boost headcount in busy sectors, they are also now far more likely to base those positions outside London. An analyst hired to cover European industrial companies or financial institutions, or a mergers and acquisitions banker, for example, could just as easily be based in Zurich, commuting into London only when necessary.
These warnings have been made before, however, and the City has not only survived but thrived. Banks are still working out how they will respond to the bonus tax; early indications are that many will decide to take the financial hit and pay out at or near the level they previously intended to, rather than risk losing top performers. The people leaving London may therefore still be limited to the industry’s most mobile workers – hedge fund managers, partners in private equity firms and junior bankers and traders.
Quite so. And candidly they a) do not create massive value in the UK b) try to avoid tax here already - usually rather successfully and c) reduce risk for the UK if they go.
So, shall we move on, as we already have on the ratings question?