Goldman Sachs boss Blankfein says London will 'stall' during Brexit process

Goldman Sachs chief executive Lloyd Blankfein has said that London’s financial power will stall during the ongoing Brexit negotiations.

The investment banker said his company had contingency plans in place which will depend on the outcome of negotiations between the UK and the European Union, he told the BBC in an interview.

Several other global financial entities have indicated their plans to move staff out of London in order to maintain more presence in the EU.

"It will stall, it might backtrack a bit, it just depends on a lot of things about which we are uncertain, and I know there isn’t certainty at the moment," Blankfein told the broadcaster.

Several other global financial entities have indicated their plans to move staff out of London

Goldman currently employs around 6,000 people in the UK, and the US bank will not make any drastic decisions on its future in the country even when the dust has settled on Brexit.

Blankfein said: "We are talking about the long-term stability of huge economies with hundreds of millions of people and livelihoods at stake and huge gross domestic product.

"So, if it takes a little while - I'd rather get it right than do things quickly."

A key concern for banks is their ability to operate in any EEA state without needing the authorisation of individual countries within the area, known as "passporting rights".

One of Goldman's main competitors, JPMorgan Chase, confirmed this week that hundreds of jobs would depart London as the firm seeks to retain the rights.