A new survey shows that since the Brexit referendum, Dublin remains the most popular destination for staff relocations and new European hubs or offices.
36 financial services firms have announced intentions to relocate UK operations and/or staff to the city.
The latest EY Financial Services Brexit Tracker shows that Luxembourg is the second most popular destination for the firms, attracting 29 companies in total, followed by Frankfurt with 23 companies and Paris with 21.
Other named locations include Madrid (8), Amsterdam (8), Milan (7) and Brussels (6).
But when it comes to the number of people who have been, or plan to be, relocated to one single destination, the Brexit tracker shows that Paris scores highest, attracting around 2,800 UK employees.
Paris is followed by Frankfurt with around 1,800 jobs and Dublin with around 1,200.
Almost six years post-referendum and five years on from the UK triggering Article 50, the EY Financial Services Brexit Tracker shows that major Brexit-related operational announcements from financial services firms have stabilised.
EY said that strategic commercial decisions are increasingly influenced by wider factors impacting individual business needs and operating models.
According to the latest data EY survey, 44% (97 out of 222) of financial services firms have now moved or plan to move some UK operations and/or staff to the EU since the referendum.
While this figure has not changed in the last quarter, it has changed significantly over the course of the last almost six years.
Amid the ongoing uncertainty around extensions, trade deals and decisions on key factors such as equivalence, the EY Brexit Tracker recorded a steady rise in firms announcing and acting on operational moves until the end of the transition period in December 2020.
It then recorded a slower but still incremental rise until December 2021.
EY noted that over the last quarter, some firms that had initially projected high numbers of staff moves to Europe in anticipation of losing access to the single market have now revised down the number of roles they will relocate to the continent to serve client needs.
The total number of announced Brexit-related job relocations from the UK to Europe has fallen to just above 7,000 in the last quarter, from 7,600 in March 2021, and 10,500 in March 2017 after Article 50 was triggered.
In the immediate months after the referendum in 2016, the total number of planned jobs leaving the UK, according to public pronouncements, reached 12,500 as many firms.
Fidelma Clarke, EY Ireland Financial Services Brexit Lead, said that in the months following the Brexit referendum, financial firms voiced their intentions to bolster EU subsidiaries, move staff to the European Union and relocate headquarters in preparation for all possible scenarios.
"The high number of potential job relocations reported in 2016 aligned with the uncertainty which surrounded the UK's relationship with Europe at the time. As firms gained greater clarity on what the post-Brexit landscape would look like, plans were consolidated and, in some cases, firms revised down the number of people they would need to relocate," Ms Clarke said.
She said that most firms finalised the majority of operational moves well ahead of the 2020 Brexit deadline and were able to serve clients in the UK and EU without undue disruption.
"While numbers have now stabilised, there will remain a degree of fluidity for some years to come - we expect operational moves across European financial markets to continue as firms navigate ongoing geo-political uncertainty, post-pandemic dynamics and regulatory requirements, including the ECB's upcoming "desk-mapping" review," she said.
"Cross-border access remains a priority for both UK and EU firms as they look to create efficient, liquid markets that offer their clients a range of options, and Ireland has remained an attractive destination. Going forward, Brexit-related decisions will be absorbed into businesses broader operational considerations in line with their wider growth and transformation strategies," she added.
