Frankfurt might be winning the major battle for UK-based investment banks as they contemplate which functions to move after Brexit, but Dublin is still a player. The Irish capital has already secured asset managers, potentially Lloyds of London and the prime services division of Credit Suisse. Expect at least some other investment banks to choose it as a base if they're forced out of the City.
But, banks are not simply moving people to these locations - they're cutting jobs in London and opening vacancies in Dublin. This presents a problem - pay. Dublin is more expensive than London for expats and offers nothing like the salaries you'd get in the City. For the trading jobs that are available in Dublin, most employers have either relied on the local workforce or Irish expats willing to take a significant haircut on their London salary for a move back home. If there's a sudden influx of jobs, traders are likely to have to relocate and settle for a smaller package.
New figures from recruiters Brightwater suggest that front office jobs in Ireland simply do not compete with London wages. A senior trader working in Dublin earns €90-140k (£75.6-117.7k), but starting salaries for those lower down the tree come in at €45k (£37.8k). Salaries for portfolio managers in London come in at £130k, according to PwC figures - usually with a 100% bonus - while portfolio managers in Dublin earn €95k (£80k) at the upper end. Senior portfolio managers can earn €145k (£122k), however.
At the moment, banks are not talking about shifting equity research roles out of London, but should they decide to do so salaries are decidedly less competitive in Dublin. Junior equity researchers can start on €30k (£25k), suggest the figures.
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