JPMorgan reluctant to expand presence in London, newspaper report claims

20 July 2010

JPMorgan is reconsidering its decision to build its European headquarters at Canary Wharf in London, a newspaper report has claimed.

According to the Sunday Telegraph, Jamie Dimon, chief executive of the financial institution, is thought to be concerned about any further costs the bank may incur by having the development located in the UK.

The bank is thought to be unhappy due to a perceived lack of support for the industry from the authorities, the newspaper claimed.

JPMorgan announced net income of $4.8 billion for the second quarter of 2010, a figure which the CEO claimed was “partially offset by a charge of $550 million for the UK bonus tax.”

Commenting when the financial results were released, Mr Dimon said: “We recognize a number of positive aspects of the pending regulatory reform legislation, including systemic risk oversight and resolution authority.

“However, many challenges and uncertainties remain which may result in unintended consequences for our clients, the markets and our businesses.”

Earlier in the year, JPMorgan Securities received the largest fine ever levied by the Financial Services Authority.

The bank received a £33.3 million penalty for failing to segregate client money appropriately.

By Jim Ottewill

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