Banks chop back relocation deals

Big banks cutting back on their relocation budgets after Brexit squeezed the central London letting market last year, estate agent Winkworth said on Thursday.

The business — which has 60 branches in London — received more than 4000 requests from firms looking to move staff to London last year, up 6% on 2015.

But after the referendum vote, inquiries tailed off as “there were fewer employees being moved by the banks” and budgets were cut, according to chief executive Dominic Agace.

The gap was only partially filled by tech and creative firms — but these tended to look for cheaper options outside the centre of town, in areas such as Battersea and Islington, he added.

Winkworth expects leasing demand to pick up this year as well as a “gradual improvement” in sales without a major election or referendum on the horizon to unsettle the market.

“Overseas buyers are still very interested,” Agace added.

Pre-tax profit fell 26% to £1.4 million.