LONDON/MILAN: Italian financiers who handle some of their country’s biggest deals out of London are moving to Milan, lured by bumper tax breaks at a time of deep uncertainty about Brexit, sources familiar with the plans said.
Investment bankers making the switch include Goldman Sachs’ co-head of Italy Francesco Pascuzzi, who also co-heads the global power and infrastructure team, and is looking to move early next year, the sources told Reuters.
Goldman and JPMorgan have started looking for new offices in Milan as their current bases, in the bustling heart of Milan, behind La Scala theater, are too small to house those seeking to relocate.
Goldman has about 20 people on its payroll in Milan – Italy’s financial capital – but expects headcount to double by 2019 as a result of Italian bankers returning from London, said the sources who declined to be named as the plans are confidential.
JPMorgan, which has a much bigger presence of about 160 staff, aims to significantly increase that number, they added.
“Hiring bankers from London used to be hard, no one was too keen to relocate as London was the place to be in finance. But things have changed,” said Leopoldo Attolico, the Italy country manager for Citi, which has 200 Milan staff and expects some workers to seek relocation from London.
“Now there is a sense of insecurity among non-UK nationals working in London and we have seen more interest in relocating to Milan, also thanks to new fiscal incentives.”
For those returning, Italy is offering significant perks, including a 50 percent income tax break. There is no mass exodus, however, with only dozens of Italians choosing to relocate so far.
But the shift points to a growing fragmentation of the European investment banking sector, which has been almost exclusively concentrated in London for the past 20 years.
As Brexit nears, more financiers are expected to shift to their home countries or to other financial hubs like Frankfurt and Paris. This would increasingly spell the end of a model that has allowed banks to streamline operations and costs by covering European markets out of Britain.
“You don’t move back to Italy to get a tax break, but it’s a good incentive when you’re thinking about your next step,” said former DBAY investment adviser Raffaele Petrone who returned to Italy in February to join private equity firm Armonia SGR.
Antonino Mattarella, nephew of Italian president Sergio Mattarella, is also among bankers making the switch. In February the 38-year-old, who spent 12 years in London at Goldman Sachs, became Bank of America’s Italy head in Milan.
Some private equity and hedge fund executives have shifted too.
Giuseppe Prestia, partner at Charterhouse, has just relocated to Milan after handling the private equity house’s Italian investments out of London for 13 years, and his firm is considering opening its own base in Italy, according to the sources.
London-based buyout funds Cinven and Advent have started beefing up their Milan subsidiaries, with Advent director Francesco Casiraghi being the first to relocate, they said.
Over the past two decades, thousands of graduates have left Italy due to a lack of work and career prospects, with London a favorite destination.
In a bid to reverse this brain drain the government has introduced the 50 percent, five-year income tax break for high-skilled Italian workers returning from abroad, as well as a flat tax rate of €100,000 on foreign income aimed at luring the wealthy of all nationalities.
Fabrizio Pagani, chief of staff for Italy’s finance minister, has been organizing international events to promote Milan as a financial center. “We have seen a lot of interest around these new fiscal policies, especially the one offering a 50 percent tax holiday,” he said.
Milan still has a long way to go to come close to rivaling London or New York. Its share of global foreign currency trading is 0.3 percent compared with 36.9 percent in London, according to the Bank for International Settlements, while Italy lags Britain, France and Germany for investment banking fees.
But there are other attractions for affluent financiers.
Known as a hub for world-class design, fashion and food, the city of 1.3 million people boasts 17 Michelin-starred restaurants among about 7,000 bars, cafes and eateries. It is also marketing itself as a modern banking center with the newly developed Porta Nuova financial district reshaping the skyline.
“More than €6 billion has been invested in office space in Italy over the past 24 months, a significant part of which went to Porta Nuova,” said Manfredi Catella, CEO of real estate investment firm Coima.
Apartments in prime areas like the Brera district cost about $12,000 per square meter versus an average of $25,000 in London’s exclusive Mayfair.
“For someone from London buying in Milan is like going to the supermarket,” said Vincenzo Albanese, CEO of estate agency Sigest.
Albanese said financial-sector workers in London had been sounding out the Milan property market over the past year with top-floor terraced apartments in high demand.
International schools are also reporting a pick-up in interest.
“We had a lot of interest from Italians working in London who decided it was time to come back. This has been a trend since Brexit,” said Chris Greenhalgh, principal at the British School of Milan.
Greenhalgh said Milan’s municipality recently gathered all international schools and asked them to provide details about their capacity as part of a pitch to lure people from London.
St. Louis School recently added a third school to its Milan network in expectation of a boom in demand from returning Italians, converting a former monastery into a 600-place school.
Ahead of Brexit, tax perks tempt Italian bankers back to la dolce vita
Ahead of Brexit, tax perks tempt Italian bankers back to la dolce vita
Poetry in spotlight at Jazan forum
- This year’s forum featured the participation of over 25 poets representing various poetic schools
JAZAN: The Sixth Poetry Forum was launched at the Jazan Literary Club on Thursday. The event forms part of the Jazan Winter Season 2025 and was held at the Grand Millennium Gizan Hotel. Yahya Al-Ghazwani, the secretary of the Jazan region and general supervisor of the winter festival, attended the event.
Hassan Al-Salhabi, the club’s president, spoke of the forum’s success over the past five years, which has boasted the participation of more than 200 poets.
He also mentioned the honoring of several literary figures in the Kingdom and the presentation of specialized critical studies on prominent poets.
This year’s forum, which ran for two days, featured the participation of over 25 poets representing various poetic schools, further enriching the cultural movement on the local literary map.
The opening included an artistic performance titled “Inspiration of Mirrors,” and the honoring of several participating writers and poets.
Two poetry sessions were held on the first day of the forum, featuring 10 poets who presented a variety of works in front of a large audience.
Serbia to talk with Putin after US sanctions target energy company
- Petroleum Industry of Serbia (NIS), majority-owned by Russia’s Gazprom Neft and its parent company, Gazprom, is the only supplier of gas to Serbia
- NIS was among the raft of companies hit by the latest round of US sanctions targeting the Kremlin on Friday
BELGRADE: Serbian President Aleksandar Vucic said Friday he would hold talks with Russian leader Vladimir Putin after Washington announced sweeping sanctions against a range of energy companies, including a Serbian firm.
Petroleum Industry of Serbia (NIS), majority-owned by Russia’s Gazprom Neft and its parent company, Gazprom, is the only supplier of gas to Serbia and the majority owner of both gas pipelines that transport gas from Russia to households and industries in Serbia.
NIS was among the raft of companies hit by the latest round of US sanctions targeting the Kremlin on Friday.
Following the announcement, Vucic told a news conference he would speak with Putin “first over the phone, and then explore other ways of communication.”
Vucic said he would also be holding talks with US and Chinese representatives soon.
“We will respond responsibly, seriously, and diligently, and although we will act carefully, we will not rush into making wrong decisions,” Vucic added.
“We will ask the incoming administration to reconsider this decision once more and see if we can obtain some allowances regarding the decisions that have already been made.”
Serbia has maintained a close relationship with Moscow since the invasion of Ukraine and refuses to impose sanctions, unlike the EU which it hopes to join.
Vucic had stated earlier that if sanctions were implemented, it would be a severe blow to Serbia, which heavily relies on Russian gas and is currently negotiating a new contract, as the current one expires in March 2025.
Gazprom Neft owns 50 percent of NIS, Gazprom 6.15 percent and 29.9 percent is owned by the Republic of Serbia, according to NIS’s website.
Friday’s announcement comes just 10 days before US President Biden is due to step down, and puts President-elect Donald Trump in an awkward position, given his stated desire to end the Ukraine war on day one of his presidency.
Venezuela’s Maduro sworn in for third term as US raises reward for his capture
- Venezuela’s opposition says ballot box-level tallies show a landslide win for its former candidate Edmundo Gonzalez
- The outgoing Biden administration increased its reward for information leading to the arrest or conviction of Maduro on drug trafficking charges to $25m
CARACAS: Venezuelan President Nicolas Maduro, whose nearly 12 years in office have been marked by deep economic and social crisis, was sworn in for a third term on Friday, despite a six-month-long election dispute, international calls for him to stand aside and an increase in the US reward offered for his capture.
Maduro, president since 2013, was declared the winner of July’s election by both Venezuela’s electoral authority and top court, though detailed tallies confirming his victory have never been published.
Venezuela’s opposition says ballot box-level tallies show a landslide win for its former candidate Edmundo Gonzalez, who is recognized as president-elect by several countries including the United States. International election observers said the vote was not democratic.
The months since the election have seen Gonzalez’s flight to Spain in September, his ally Maria Corina Machado going into hiding in Venezuela, and the detentions of high-profile opposition figures and protesters.
In the latest in a series of punitive steps, the outgoing Biden administration increased its reward for information leading to the arrest or conviction of Maduro on drug trafficking charges to $25 million, from a previous $15 million.
It also issued a $25 million reward for Interior Minister Diosdado Cabello and a $15 million reward for Defense Minister Vladimir Padrino, as well as new sanctions against eight other officials including the head of state oil company PDVSA Hector Obregon.
The US indicted Maduro and others on narcotics and corruption charges, among others, in 2020. Maduro has rejected the accusations.
The US move coincided with sanctions by Britain and the European Union each targeting 15 officials, including members of the National Electoral Council and the security forces, and Canadian sanctions targeting 14 current and former officials.
The Maduro government has always rejected all sanctions, saying they are illegitimate measures that amount to an “economic war” designed to cripple Venezuela.
“The outgoing government of the United States doesn’t know how to take revenge on us,” Maduro said during his inauguration speech, without directly mentioning sanctions.
The Venezuelan communications ministry did not immediately respond to a request for comment on the sanctions.
Maduro and his allies have cheered what they say is the country’s resilience despite the measures, though they have historically blamed some economic hardships and shortages on sanctions.
OPPOSITION TO SPEAK
Gonzalez, who has been on a whistle-stop tour of the Americas this week, has said he will return to Venezuela to take up the mantle of president, but has given no details.
The government, which has accused the opposition of fomenting fascist plots against it, has said Gonzalez will be arrested if he returns and offered a $100,000 reward for information leading to his capture.
Opposition leaders Gonzalez and Machado are each expected to speak later on Friday.
Both are being investigated by the attorney general’s office for alleged conspiracy, but only Gonzalez has a public warrant out for his arrest.
Machado’s first public appearance since August at an anti-government march in Caracas on Thursday was marred by a brief detention.
Her Vente Venezuela political movement said guns were fired and Machado was knocked off the motorcycle on which she was leaving the event. She was then held and forced to film several videos, it said.
One video shared on social media and by government officials showed her sitting on a curb and recounting losing her wallet.
The government scoffed at the incident and denied any involvement.
Some 42 people have been detained for political reasons since Tuesday, judicial NGO Foro Penal said.
Maduro was sworn in at the national assembly in Caracas and said he was taking his oath in the name of sixteenth-century Indigenous leader Guaicaipuro and late President Hugo Chavez, his mentor, among others.
“May this new presidential term be a period of peace, of prosperity, of equality and the new democracy,” Maduro said, adding he would convene a commission dedicated to constitutional reform.
“This act is possible because Venezuela is peaceful, in full exercise of its national sovereignty, of its popular sovereignty, of its national independence,” Maduro said.
Some 2,000 invitees from 125 countries attended the inauguration, according to the government.
Cuba’s President Miguel Diaz-Canel and Nicaragua’s President Daniel Ortega, staunch allies of Maduro, attended as did Vyacheslav Volodin, the speaker of Russia’s lower house of parliament.
ECONOMIC TROUBLES
Venezuela closed its borders and airspace to Colombia for 72 hours starting at 0500 local time (1000 GMT), the foreign ministry in Bogota said in a statement, adding the border on the Colombian side would remain open.
The opposition, non-governmental organizations and international bodies such as the United Nations have for years decried increasing repression of opposition political parties, activists and independent media in Venezuela.
US President-elect Donald Trump has said the country is being run by a dictator.
Meanwhile the government has repeatedly accused the opposition of plotting with foreign governments and agencies including the Central Intelligence Agency to commit acts of sabotage and terrorism.
The government said this week it had detained seven “mercenaries,” including a high-ranking FBI official and a US military official.
Venezuela’s economy has experienced a prolonged crisis marked by triple-digit inflation and the exodus of more than 7 million migrants seeking better opportunities abroad.
Many of Machado’s supporters, among them retired Venezuelans who would like to see their children and grandchildren return to the country, say jobs, inflation and unreliable public services are among their top concerns.
The government, meanwhile, has employed orthodox methods to try to tamp down inflation, to some success. Maduro said this month that the economy grew 9 percent last year.
About 2,000 people were arrested at protests following the election. The government said this week it has released 1,515 of them. Gonzalez, 75, said his son-in-law was kidnapped on Tuesday while taking his children to school.
Saudi Arabia takes up position as secretariat of global coral reef body
- Coral reefs sustain 25 percent of the world’s marine biodiversity and generate an estimated $9.9 trillion annually in ecosystem services
JEDDAH: Saudi Arabia on Friday officially assumed its position as secretariat of the International Coral Reef Initiative, an organization that works to protect the planet’s coral reefs.
Representing 102 members and 45 countries responsible for 75 percent of the world’s reefs, ICRI plays a role in tackling environmental and economic challenges facing these vital ecosystems.
The virtual handover ceremony was attended by international representatives, including Peter Thomson, the UN’s special envoy for the ocean, as well as representatives from organizations such as the International Union for Conservation of Nature and the US State Department.
The Kingdom’s tenure as head of the body was confirmed during the ICRI’s 38th General Meeting in September 2024 and will be led by the Kingdom’s General Organization for the Conservation of Coral Reefs and Turtles in the Red Sea, also known as SHAMS.
“Saudi Arabia’s role as ICRI secretariat underscores our unwavering commitment to a sustainable future for coral reefs worldwide,” said Dr. Khaled Asfahani, CEO of SHAMS and chair of ICRI. “Through science, innovation, and collaboration, we aim to protect these vital ecosystems, ensuring their resilience for future generations while maintaining their invaluable contributions to the global economy.”
Coral reefs sustain 25 percent of the world’s marine biodiversity and generate an estimated $9.9 trillion annually in ecosystem services, from fisheries to tourism.
Yet, they are under siege from climate change, pollution, and overfishing. With Saudi Arabia at the helm, ICRI will craft its 2025–2027 Action Plan to address these threats.
The plan seeks to expand membership to include countries representing 90 percent of global coral reefs, strengthen regional collaborations in the Red Sea, South Asia, and East Africa, and integrate reef resilience into global biodiversity policies.
Police ban pro-Palestine march near BBC headquarters over ‘disruption’ concerns
- Planned Jan. 18 march was set to pass near a synagogue
- Organizers criticized decision, saying it ‘rejects the implication that our marches are somehow hostile to or a threat to Jewish people’
LONDON: UK police have banned a planned pro-Palestine march from taking place outside the BBC headquarters in London, citing concerns over potential “serious disruption” to a nearby synagogue.
The decision, announced on Friday, prevents the rally — originally scheduled for Saturday, Jan. 18 — from gathering in the area under the Public Order Act.
The Metropolitan Police said that it consulted with local community and business representatives, including members of the synagogue’s congregation located “very close” to the proposed starting point of the march, before making the decision.
The ban follows an earlier request by authorities for the Palestine Solidarity Campaign, or PSC, the march’s organizers, to amend their planned route to avoid disrupting worshippers at the synagogue on Shabbat, the Jewish holy day.
The PSC strongly criticized the move, stating: “The Palestine coalition rejects the implication that our marches are somehow hostile to or a threat to Jewish people.
“The Met police have acknowledged there has not been a single incident of any threat to a synagogue attached to any of the marches.”
In an open letter issued on Friday, more than 150 cross-party MPs, trade union leaders, writers, cultural figures and civil society organizations condemned the police’s actions, accusing them of “misusing public order powers to shield the BBC from democratic scrutiny.”
“The route for the march was confirmed with the Police nearly two months ago and, as agreed with them, was publicly announced on 30 November. This route, beginning at the BBC, has only been used twice in the last 15 months of demonstrations and not since February 2024,” the PSC said in its statement.
“With just over a week to go, the Metropolitan Police is reneging on the agreement and has stated its intention to prevent the protest from going ahead as planned.”
The rally was expected to begin outside the BBC’s headquarters before marching to Whitehall.
Organizers said that the demonstration was intended to protest about the “pro-Israel bias” that they claim dominates the broadcaster’s coverage.
