Brexit: Goldman CEO warns City of London will ‘stall’

Goldman Sachs chief executive Lloyd Blankfein says Brexit risks will “stall” UK financial services and that the firm has contingency plans based on varying outcomes from negotiations with the European Union.

In an interview with the BBC, Goldman Sachs employs 6,500 people in the UK, but Blankfein confirmed the bank has been in talks with cities across Europe and has been looking at office space.

However, he said he would prefer to keep as many jobs as possible in the UK.

Blankfein stopped short of predicting the City’s expansion over the last three decades would reverse.

“It will stall, it might backtrack a bit, it just depends on a lot of things about which we are uncertain and I know there isn’t certainty at the moment.”

Blankfein said a transitional deal was required to protect the “long-term stability of huge economies with hundreds of millions of people”.

Regarding rising tensions between Prime Minister Theresa May and the EU27, Blankfein says: “A couple of years is a long time for people to calm down and really take stock of what their long term economic interests are.”