Brexit will hit UK jobs, IoD survey finds

Leaving the European Union will lead to job losses in UK businesses, according to a survey released today by the Institute of Directors (IoD).

The organisation?s snap business reaction survey revealed that nearly two-thirds (64%) of IoD members think the result is negative for their firm, against 23% who think it is positive. Only 9% said it makes no difference.

A third (32%) of employers said that hiring will continue at the same pace, but a quarter (24%) plan to put a freeze on recruitment, and 5% expect to make redundancies.

And amid speculation over the possibility of big-name financial firms moving away from the UK, one in five IoD members (22%) are are considering moving some of their operations outside of the UK, and just 1% said they would bring operations back.

The IoD surveyed 1,092 of its members between 24 and 26 June.

Simon Walker, IoD director general, said:

?Businesses will be busy working out how they are going to adapt and succeed after the referendum result. But we can?t sugar-coat this, many of our members are feeling anxious. A majority of business leaders think the vote for Brexit is bad for them, and as a result plans for investment and hiring are being put on hold or scaled back.?

A separate survey by recruitment software company PathMotion found that 49% of top graduate employers are likely to lower their intake of graduates if the UK leaves the EU.

Moreover, while an end to free movement of EU workers would lead some employers to hire more British graduates, this does not appear to outweigh the overall reduction in graduate intake.

Over the weekend, the BBC reported that HSBC could move up to 1,000 staff from London to Paris if the UK leaves the European single market. HSBC declined to comment.

Meanwhile, US-based Morgan Stanley has denied reports that it plans to move 2,000 jobs to Dublin or Frankfurt following the vote for the UK to leave the EU.