Daily uk news HSBC will slash office space by 40% as bank's annual profits slump by a third to £6.2billion - but will keep HQ in London despite previous threats to move to Asia  MetiNews.Com

MetiNews.Com - As part of a push towards more homeworking beyond the Covid lockdown, the British multinational says it plans to axe office buildings as leases come to an end.

Daily uk news HSBC will slash office space by 40% as bank's annual profits slump by a third to £6.2billion - but will keep HQ in London despite previous threats to move to Asia  MetiNews.Com

MetiNews.Com - As part of a push towards more homeworking beyond the Covid lockdown, the British multinational says it plans to axe office buildings as leases come to an end.

Daily uk news  HSBC will slash office space by 40% as bank's annual profits slump by a third to £6.2billion - but will keep HQ in London despite previous threats to move to Asia  MetiNews.Com
23 February 2021 - 13:00

Breaking News ! HSBC has today announced plans to slash office space by 40 per cent, as it was revealed that the banking giant's profits have fallen by a third. As part of a push towards more homeworking beyond the Covid lockdown, the British multinational says it plans to axe office buildings as leases come to an end.However the bank's branches will stay, say bosses. Its headquarters in London's Canary Wharf will also remain, despite previous talk of a move to Hong Kong.It comes as the banking firm, the largest in Europe, today announced a 34 per cent drop in pre-tax profits for the year.But the drop, down from 13.3billion in 2019 to £6.2billion for last year to December,  beat initial estimates. As part of a push towards more homeworking beyond the Covid lockdown, the British multinational says it plans to axe office buildings as their leases come to an end. Branches (such as the one pictured here) will not close as part of the plan Group chief executive Noel Quinn (pictured) said the company's mandate in 2020 was to 'provide stability in a highly unstable environment for our customers, communities and colleagues'Meanwhile, the adjusted profit before tax of £8.6billion fell 76 per cent on the year before.The bank reported an adjusted revenue of £35.8billion, representing a fall of just 8 per cent on 2019's £39billion. Surge in firms hiring admin staff shows employers are looking to reopen offices after lockdown, says Reed bossA surge in firms hiring admin staff shows employers are looking at reopening offices after lockdown ends, a top recruitment firm boss has today claimed.As it was this morning announced UK unemployment figures had reached a five-year high, James Reed, from the company Reed, said the number of jobs available on his company's site was actually growing.Providing a glimmer of hope of a post-Covid recovery, he said 153,000 new jobs had been posted in February alone - a similar trend to what the firm had seen during the November lockdown.And he said there had been a particular spike in admin, media and digital jobs, sparking hope that companies could be looking to bring workers back into the office.Speaking to BBC Radio 4's Today Programme, he said: 'We are seeing a lot more administration jobs posted, which is encouraging because it suggests companies are potentially planning to reopen their offices.'And there's been quite a big increase in media and digital jobs as well.'adverts.addToArray({"pos":"mpu_factbox"})Advertisement And, in a sign investors were impressed by the better-than-anticipated results, shares shot up 3 per cent in early trading in Hong Kong following the announcement.Group chief executive Noel Quinn said the company's mandate in 2020 was to 'provide stability in a highly unstable environment for our customers, communities and colleagues'.He added: 'I believe we achieved that in spite of the many challenges presented by the Covid-19 pandemic and heightened geopolitical uncertainty.'Our people delivered an exceptional level of support for our customers in very tough circumstances, while our strong balance sheet and liquidity gave reassurance to those who rely on us.'We achieved this while delivering a solid financial performance in the context of the pandemic - particularly in Asia - and laying firm foundations for our future growth.'It comes as, in a further sign the pandemic could mean permanent changes to working patterns, HSBC chiefs announced plans to cut its office footprint by 40 per cent over the long-term. Mr Quinn said the reduction would come from axing office buildings as their leases come to an end.The move would not include branches or HSBC's headquarters building in London's Canary Wharf. The bank had previously talked about moving its HQ overseas, with Hong Kong considered the most likely option. The company, who in 2016 was accused by Treasury Select Committee MP John Mann of ‘holding British taxpayers to ransom’ with its threat to leave the UK, voted unnanimously to stay five years ago.The banking giant opened a regional headquarters in Birmingham in 2019.Buildings which are retained under its office reduction plan will be used more flexibly, Mr Quinn said.The company did not reveal the locations of its offices, nor when the leases were due up for renewal when asked by MailOnline.  Mr Quinn said the reduction would come from axing office buildings as their leases come to an end and would not include branches or HSBC's headquarters building in London's Canary Wharf'We are focused on those offices with support functions and head office activities when we talk about the 40 per cent reduction,' Mr Quinn said.'We believe we'll achieve it via a very different style of working post-COVID with a more hybrid model.'Take London, for example, we will have the building at Canary Wharf, this will be the primary office but the nature of working in the office will change.'The UK government said on Monday that home working should continue until further notice as it plotted a gradual easing of the country's lockdown, meaning company offices will remain largely empty for months. RELATED ARTICLES Previous 1 Next Surge in firms hiring admin staff shows employers are... Even Prof Lockdown thinks we could go faster: Boris Johnson... Share this article Share Several banks have said they will adopt more hybrid working after most of their staff switched to working from home in the pandemic, but few have spelled out a specific target for reducing space.HSBC's Asia-focused rival Standard Chartered moved to permanent flexible working in November, later signing an agreement with flexible workspace provider IWG.Executives at some banks including Barclays and JPMorgan have cooled on the idea of widescale remote working, arguing over the longer term it is taking a toll on staff wellbeing and proving less effective.HSBC unveiled a revised strategy focused mainly on wealth management in Asia after the pandemic saw its annual profits drop sharply. Unemployment rises again to five-year high of 5.1 per cent with young people bearing the brunt of the pandemic as Rishi Sunak prepares to extend furlough AGAIN until June in Budget Unemployment has risen again to a five-year high of 5.1 per cent as Rishi Sunak prepares to extend the huge furlough scheme for months more.Official figures showed that in the three months to December the rate went up by 0.1 per cent compared to the equivalent period to November.The increase - taking the total on the dole queue to 1.74million - comes despite the huge bailouts in place to prop up jobs, and will fuel fears of a devastating spike when the support is finally withdrawn.Young people have been by far the hardest hit, accounting for the bulk of the overall rise in unemployment since the start of the pandemic. They made up around three fifths of the 700,000 fall in numbers on payroll over the past year.    However, there were some glimmers of hope in the details released today, with payrolled employees and vacancies increasing slightly month on month.

. The Treasury has already spent around £280billion supporting UK plc through the crisis, and Mr Sunak has made clear he wants to start balancing the books.But yesterday Boris Johnson strongly hinted the support schemes will continue, insisting the Government has no intention of 'pulling the rug' and will 'continue to do whatever it takes to protect jobs' for the 'duration of the pandemic'.The 'roadmap' unveiled by the PM yesterday includes four stages which last until June 21 - suggesting support will go on at least that long. Mr Sunak said today: 'I know how incredibly tough the past year has been for everyone, and every job lost is a personal tragedy.'That's why throughout the crisis, my focus has been on doing everything we can to protect jobs and livelihoods.'At the Budget next week I will set out the next stage of our Plan for Jobs, and the support we'll provide through the remainder of the pandemic and our recovery.' Official figures showed that in the three months to December the rate went up by 0.1 per cent compared to the equivalent period up to November The ONS figures underlined that younger people have been hardest by the pandemic. This chart shows cumulative change in the unemployment rate by age groups Chancellor Rishi Sunak is set to extend the massive furlough scheme until at least July. It comes as Boris Johnson gave a strong hint that the massive furlough scheme would be extended again as he unveiled an ultra-cautious 'roadmap' for easing lockdown The roadmap document published by the government yesterday underlines the scale of the hit from coronavirus, which has caused the worst recession in 300 years The roadmap document points out that young people in particular have been hammered by the lockdowns ONS deputy national statistician for economic statistics Jonathan Athow said: 'The latest monthly tax figures show tentative early signs of the labour market stabilising, with a small increase in the numbers of employees paid through payroll over the last couple of months – though there are still over 700,000 fewer people employed than before the start of the coronavirus pandemic.'Almost three-fifths of this fall in employees since the onset of the pandemic came from the under-25s, according to a new age breakdown we are publishing for the first time today.'Our survey shows that the unemployment rate has had the biggest annual rise since the financial crisis. 'However, the proportion of people who are neither working nor looking for work has stabilised after rising sharply at the start of the pandemic, with many people who lost their jobs early on having now started looking for work.'Employment minister Mims Davies said: 'Today's figures highlight the challenges people are still facing, but there are glimmers of hope with employment relatively stable, over 600,000 people moving onto payrolls and hours worked up.'With the Prime Minister setting out the roadmap to cautiously ease lockdown and the vaccine rollout protecting millions of people, we're looking ahead to our recovery – our Plan for Jobs is creating new opportunities, boosting skills, and delivering a package of support for people of all ages, getting Brits back into work as we push to build back better.' Mr Sunak has told Tory MPs that support for some businesses will need to last beyond the summer, particularly for those that will not open any time soon, such as nightclubs. They added that the Chancellor will present the furlough as an 'offset' to the tax rises as he delivers his second Budget on March 3, and is expected to 'lay down markers' for future tax rises to start balancing the books.  Corporation tax is set to rise from next year from 19 to 24 per cent, in staggered stages. High earners are also likely to be hit.An announcement is also expected on freeports, including naming the first 'three or four', a source said. The Autumn Budget is expected to be used to announce tax rises to come in from 2022.   Mr Johnson yesterday unveiled an exit strategy from the third national lockdown, with schools to return from March 8 but businesses to continue facing damaging curbs for many months to come. Pubs and restaurants will be able to serve outdoors from April 12, and gyms can reopen. However, the hospitality sector will not be allowed to operate indoors until at least May, and it is not until June that legal social distancing restrictions might be removed. In the Commons, Mr Johnson stopped short of confirming outright that support for businesses will be extended, with Mr Sunak due to deliver his Budget next week. But he nodded to the impending closure of the furlough scheme at the end of April, as well as the fact other support is due to lapse.'In view of these cautious but, I hope, irreversible changes, people may be concerned about what these changes mean for the various support packages for livelihoods, for people and the economy,' Mr Johnson said.'So I want to reassure the House we will not pull the rug out - for the duration of the pandemic the Government will continue to do whatever it takes to protect jobs and livelihoods across the UK.'And the Chancellor will set out further details in the Budget next Wednesday.'Mr Sunak is also looking at extensions to business rates relief that are due to run out in March.Mike Cherry, chairman of the Federation of Small Businesses, told the Times: 'The chancellor must deliver on the prime minister's 'whatever it takes' pledge at next week's budget. 'On one side of the coin we have continued restrictions; on the other, we need corresponding business support. 'Business support measures need to reflect this road map to avoid forcing the great businesses of tomorrow under before they've had a chance to realise their potential.' The roadmap document published by the government yesterday underlines the scale of the hit from coronavirus, which has caused the worst recession in 300 years. Mr Sunak has told Tory MPs that support for some businesses will need to last beyond the summer, particularly for those that will not open any time soon, such as nightclubs. It comes as Boris Johnson hinted that furlough would be extended again It points out that young people in particular have been hammered by the lockdowns. 'Businesses and their suppliers are suffering from enforced closures and restrictions on social contact - particularly aviation, pubs, restaurants and hotels, sports and events, arts, entertainment and conferences - and so are their suppliers,' the blueprint said.  'Even though the Government has provided over £280billion in financial support since March 2020, jobs have inevitably been lost given the unprecedented challenge of the pandemic.'The number of employees on payroll fell by 828,000 between February and December 2020.'The pain has not been felt equally. Staff in the hardest-hit sectors, such as hospitality, are more likely to be young, female, from an ethnic minority, and lower paid.  'The unemployment rate for those aged 18 to 24 increased from 10.5 per cent in the three months to February 2020 to 13.2 per cent in the three months to November.' Shadow chancellor Anneliese Dodds tweeted: 'Indoor hospitality won't reopen until 17 May at the earliest – more than a month after they have to start paying business rates and more than two weeks after furlough ends.'Businesses needed certainty today. Instead this Conservative Government has left them in the lurch again.'Union warned workers have been left worrying about their jobs after the PM's announcement because some businesses will not be able to reopen before the furlough scheme ends.TUC general secretary Frances O'Grady said there could be a gap of months before workers know if they still have a job.'The Government must stop dithering and delaying and extend the full furlough scheme for at least the rest of 2021, and it must (give) urgent support for the self-employed.'With jobs and livelihoods hanging in the balance there is no reason to keep workers and businesses waiting.'We need a plan for supporting the parts of the economy hit hardest by repeated lockdown restrictions, like hospitality, retail, aviation and the creative industries.'Ministers cannot watch from the sidelines as companies go the wall.'If the Prime Minister wants to make sure we never go into lockdown again, he must do a better job of keeping people safe as they return to workplaces in large numbers'That means beefing up workplace safety guidance so that it's in line with the latest science and cracking down on employers who put staff in danger,' she said.    adverts.addToArray({"pos":"mpu_factbox"})Advertisement

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Daily uk news HSBC will slash office space by 40% as bank's annual profits slump by a third to £6.2billion - but will keep HQ in London despite previous threats to move to Asia  MetiNews.Com


Daily uk news HSBC will slash office space by 40% as bank's annual profits slump by a third to £6.2billion - but will keep HQ in London despite previous threats to move to Asia  MetiNews.Com


Daily uk news HSBC will slash office space by 40% as bank's annual profits slump by a third to £6.2billion - but will keep HQ in London despite previous threats to move to Asia  MetiNews.Com


Daily uk news HSBC will slash office space by 40% as bank's annual profits slump by a third to £6.2billion - but will keep HQ in London despite previous threats to move to Asia  MetiNews.Com

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