The British government has announced that British National Overseas (BNO) passport holders will have a chance to settle in the UK. Eligible Hong Kong residents are now allowed to come to Britain for five years and ultimately apply for citizenship. However, recruiters have not yet received relocation to the UK enquiry from professionals.
Relocation to London - Let's Wait
According to Selby Jennings Global Job Confidence Index Report, European financial services respondents are most negative about the economy. They are least confidence about job security compared to APAC and the US. While the British are not confident about their market, Hong Kong financial services professionals know relocation to the UK is not yet a good time:
Poor economic performance
While Hong Kong GDP could shrink by 5% in 2020, UK is set for 11.5% economic contraction, which is the worst slump of any OECD country.
In the midst of Covid-19
Hong Kong, as one of the cities out of Covid-19. Majority offices are already back to work and normal. As of July 3, Hong Kong has total 1,243 infected cases, UK has total 283,757 cases. It has been 15 days run of no local Covid-19 cases for Hong Kong.
There are renewed fears that a "no deal Brixit" might inflict further damage on the economy in 2021 and beyond
Higher tax rate
Britain top tax rate is 45%. Hong Kong's highest band tax rate is 17%, which is 2.6 times lower than the UK.
Other Relocation Obstacles
Although the door has been opened for Hong Kong citizenz, there are concerns and obstacles that require time to think through. Hong Kong financial services professionals' careers tie to Asian markets and clients, moving to the UK means they need to start everything from scratch.
Also, Hong Kong is a huge private banking centre, with more than 1 trillion in assets under management. This is a huge market for private bankers. They will only move if their clients shift their assets.
Furthermore, finance professionals have ongoing family and personal commitments in Hong Kong. It is just harder to move.
Relocation to Singapore
Recruiters are not receiving any enquiries yet for relocation to London. However, they have received enquiries for relocating back to Hong Kong from the US and Europe due to Covid-19. Some expats in Hong Kong are already chatting to recruiters about moving to Singapore. But to a lesser extent the UK, Europe and the US.
Research before Relocation
To read the original full article, please visit eFinancial Careers.
Hong Kong job market will recover more quickly than in London. Before you decide to make a relocation decision, make sure you have done enough research and speak to market experts. Selby Jennings has 11 offices across the globe. Speak to us to understand more about the market.