The London Economic Podcast

Paris and Frankfurt battle over “Brefugees”

Brefugee, noun, UK, informal – a worker who is to be displaced by Brexit

Paris and Frankfurt are set to battle over so-called Brefugees.

The workers, who have been displaced by Britain exiting the European Union, will in most cases have to choose between the French capital and the German financial centre.

While Theresa May’s statement last week that she would be willing to turn the UK into a low-tax, fiscal paradise offers a new kind of hope to the future of the UK’s economy, the fact remains that many of the jobs in the banking sector will need to leave London.

That’s why the relocation experts at have conducted a study to consider the cost and efforts of a Brefugee exodus. In combination with the 2017 Relocation Index, here is a comprehensive view of the two cities that are expected to win the vast majority of these jobs.


Name of bank          Number of relocations planned

JP Morgan                 4,000

Citigroup                    2,000

Morgan Stanley         2,000

Goldman Sachs        1,600

Bank of America       1,400

HSBC                       1,000

UBS                          1,000

BNP Paribas             200


When their annual salary and bonus are combined, traders and investors earn an average of €116,996.06 per year. Collectively, those 13,200 workers earn almost €1.6 billion. This represents a huge opportunity to the French and German economies in terms of spending money and tax revenue.

After tax, the German and French economies could expect a spending boost of almost €1 billion euros every year if they were to attract these high earners.

With an income tax rate of 41 per cent, the French government would earn an additional €634,733,432 per year from these high earners. The German government could earn even more with their rate of 42 per cent, potentially bringing in a total of €650,214,735 annually. Both countries could also earn billions from the additional corporation tax they would receive.


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