UK government courted UBS over London HQ move

Former UK Chancellor of the Exchequer, Rachel Reeves, at Downing Street, March 2026. Keystone / EPA

Former UK Chancellor of the Exchequer Rachel Reeves pitched the City of London as an alternative home for the Swiss bank, which is weighing its options amid new capital proposals.

Britain’s Labour government sought to persuade UBS to shift its headquarters and stock market listing to London in the event of the bank relocating out of Switzerland because of strict new capital rules.

Rachel Reeves pitched London as a potential new home for UBS in discussions with the bank’s chair Colm Kelleher during her time as chancellor, according to people briefed on the talks.

The pair discussed the possibility of UBS moving its legal headquarters and listing to the UK if it were to redomicile, the people added, with the most recent meeting taking place earlier this year.

The discussions illustrate how foreign governments have attempted to court Switzerland’s biggest bank while it is mired in a protracted political battle over regulatory reforms in its home market.

UBS relocating to London would represent a major coup for the UK, with its valuation of CHF129 billion ($157 billion) making it the fourth-largest company in the FTSE 100, behind only HSBC, Shell and AstraZeneca.

UBS already has a significant presence in the UK, where it employs about 8,000 people across investment banking, wealth management and asset management.

The bank suffered a setback last month when Swiss lawmakers pressed ahead with strict new rules that the lender said would require it to hold about $16 billion of additional capital, rejecting a compromise proposal.

>> How new Swiss capital requirement rules have sparked debates about a possible UBS move:

While UBS has said that its goal is to continue operating out of Switzerland, Kelleher publicly acknowledged last month that the lender could reconsider its Swiss base if the regulatory clampdown proved too onerous.

Two major shareholders have also called on the board to consider moving its headquarters, with US asset manager Artisan Partners saying in recent weeks that Switzerland was “no longer an attractive or desirable location” for UBS.

UBS’s board has examined contingency plans in response to the capital reforms, including redomiciling, the FT previously reported. However, there is no indication that the bank is actively planning to relocate to the UK or any other jurisdiction at present.

Many industry observers view the US as the most likely alternative for the Swiss lender given its lighter regulatory regime and UBS’s ambitions to compete in wealth management with Wall Street rivals such as Morgan Stanley.

Senior executives at the bank last year held talks with Donald Trump’s administration officials about a potential relocation to the US.

However, some analysts have questioned the feasibility of a move, citing legal complexities and the possibility of Switzerland imposing a hefty exit tax on the bank. Others believe a merger with a large US or European bank could be a more likely alternative.

The discussions between Reeves and Kelleher also underline how Labour has sought to court international businesses since assuming power in 2024.

Reeves won praise from banking executives after sparing the sector from tax rises in last year’s Budget following an intense lobbying campaign.

However, there is concern among executives that her successor, John Healey, could target the industry for tax increases in his first Budget this month.

UBS and Reeves declined to comment.

The Treasury did not respond to a request for comment. 

Copyright The Financial Times Limited 2026