🔗 Share this article JP Morgan CEO Authorizes £3bn London Headquarters After UK Government Promises The top executive of JPMorgan has given final approval on a massive three billion pound headquarters building in the UK capital after guarantees from UK government officials about pro-business policies. The JP Morgan CEO, Jamie Dimon, authorized the headquarters project plan recently. Timing of Developments The financial institution, that along with Goldman Sachs disclosed substantial investment plans right after avoiding higher taxes in the Treasury's financial statement, only gave final approval recently. This decision followed a trip to New York by Varun Chandra, that met with the banking executive to discuss commitments about the UK's economic approach. Financial Background The discussions occurred days before the chancellor disclosed significant tax increases in a financial statement that spared the banking sector from increased charges, in response to intense lobbying from the banking community. "The investment ... would likely not have proceeded if this financial plan had been regarded as anti-prosperity." Project Details On this week, JP Morgan revealed plans to develop a 3 million square foot tower in the docklands area, which will become its primary British base and house more than half of its 23,000 UK staff. The financial institution stressed that the project would be contingent upon "supportive government policies in the UK". Financial Benefits The bank has stated that the project could generate substantial economic value to the British economy over the next six years. The government official expressed enthusiasm about the project, calling it a "multibillion-pound vote of confidence in the nation's financial future". Broader Perspective A representative aware of the bank's investment strategy said that the project approval was "influenced by various considerations" and that "uncertainty remained whether banks were going to be facing higher charges before the announcement". Jamie Dimon remarked that the "UK government's priority of financial development has been a significant element in supporting our this determination". Parallel Announcements Goldman Sachs disclosed that it would increase its UK regional presence and employ new employees, in a strategy that would significantly increase its staffing levels in the Britain's second largest metropolitan area. The Treasury had considered raising the financial sector tax in the UK, as it looked at methods to increase income after rejecting increasing income tax rates, but ultimately decided to maintain current levels. Banks in the UK currently pay a increased business taxation, being above the normal rate, as well as a separate levy on their British operations.