Bank of America recently announced plans to expand strategically in Belfast. This strategic decision is a leap forward in the region’s job market transformation. The monetary establishment is poised to usher in a “sluggish build-up” of its operations. They expect to launch recruitment for the first positions in the next few months. This announcement coincides with a general upturn in U.S. investment into the UK. It has enormous implications for the financial services sector.
Then, earlier in 2023, came Bank of America’s blockbuster announcement. To combat this skills gap they launched a three year digital skills and employability program in collaboration with Belfast Metropolitan College. As part of the initiative, 600 people from socially and economically disadvantaged backgrounds are supported through on-the-ground training. More importantly, it boosts their future employability in an increasingly competitive digital economy.
In terms of scale of investment, Citigroup is far ahead. They’ve committed a further £1.1 billion to grow their business in the UK, reaching into Northern Ireland. Citigroup is the key largest financial services employer in the state. It now employs just under 14,000 people through its headquarters in Belfast and offices in London, Edinburgh, and Jersey.
Together with recent announcements from both banks this indicates a potential flood of more than £1.25 billion in investments. U.S. companies—including Bank of America, PayPal and S&P Global—are out in front. Then Shadow Chancellor Rachel Reeves made much of all of this. She said they represent the “huge potential” of the UK economy, as well as demonstrating the deep relationship between the U.S. and the UK.
“The immense potential of the UK economy, our strong relationship with the US and the confidence global investors have in our plan for change.” – Rachel Reeves
Belfast now joins London, Edinburgh, and Manchester as important recipients of this latest wave of American investment. We believe that the financial services sector will be a key component of any successful strategy to get these cities moving in the direction of renewed economic growth.
Citigroup’s Chief Executive Jane Fraser emphasized her firm’s long-standing commitment to the UK market. In her speech, she said that Citi’s commitment to the UK “runs deep,” noting the bank’s substantial relationships with the UK’s largest companies. To top that off, Fraser pointed out that Citigroup now services 85% of the FTSE 100. This highlights its essential function to underpin UK businesses through all market conditions.
“We’re proud to be serving 85% of the FTSE 100 and to have stood beside UK companies through every market cycle, raising capital, financing growth and helping them compete on the world stage.” – Jane Fraser
The initial debate over a US-UK trade deal has served as a blueprint for what can build our transatlantic trade and investment. Adding his voice, Brian Moynihan CEO of Bank of America said, “That collaboration is critical to providing the business certainty.”
“The early US-UK trade agreement that the president and the prime minister began discussing in February has provided the business community with the certainty and framework it needs to strengthen transatlantic commerce.” – Brian Moynihan
Rachel Reeves anticipates this investment boondoggle will generate tens of thousands of these high-skilled jobs. These jobs will include everything from Belfast to Edinburgh. She made the case for growing this progress. It injects cash directly into the hands of millions of working Brits.
“This will create thousands of high-skilled jobs from Belfast to Edinburgh, kickstarting the growth that is essential to putting money in working people’s pockets across every part of the United Kingdom.” – Rachel Reeves
US Rep. Peter Kyle (D-WI) likewise expressed this sentiment. Second, he claimed that bolstering connections with the U.S. helps the economy and cements the UK’s position in global finance. He added that these investments are essential for supporting the UK’s position as one of the top three investment destinations worldwide.
“Strengthening ties with the US boosts our economy, creates jobs, and secures our role in global finance… These investments reflect the strength of our enduring ‘golden corridor’ with one of our closest trading partners.” – Peter Kyle
