A spokesperson for the bank said: 'We were part of the discussions, but we have withdrawn from them. The reality is that 97% of our staff are overseas and more than 90% of our profits come from outside the UK. We do not want to be in a position to treat our UK staff differently'.
One banker told Here Is The City: 'All is takes is one player to walk away, and the so-called 'pact' evaporates. Expect Barclays, RBS, and HSBC to quickly follow Standard Chartered out the door. In my view, this pact is dead in the water'.
In the meantime, Dow Jones Newswires reports that HSBC is planning to beef up its investment banking franchise in Australia with new hires in debt capital markets, onshore leveraged finance and loan syndications.
Finally, Reuters also reports that UBS has completed the build-out of its London-based equity trading team with the appointment of former Icap trader James Babbs. And Bloomberg says that the Swiss bank has added 168 staff to its M&A EMEA headcount this year, and has plans to add a few more over the coming months.
The news agency quotes Liam Beere, UBS's co-head of Europe M&A, who said: 'We have made a number of excellent hires. We are feeling confident about 2011, and are well positioned to benefit from an improvement in the M&A market'.