HSBC reverses Canary Wharf exit plan amid desk shortage and return-to-office push

HSBC has reversed plans to leave Canary Wharf, signing a 15-year lease for 210,000 sq ft of office space in the Docklands financial district after a shortage of desks prompted a rethink of its London strategy.

The move comes just weeks after chief executive Georges Elhedery ordered all managing directors to be in the office at least four days a week from October – a shift from the bank’s earlier strategy under former chief Noel Quinn to shrink its office footprint and cut costs.

The banking giant will take space at 40 Bank Street, a short walk from its current headquarters at 8 Canada Square, where it has been based since 2002 and employs around 8,000 people. HSBC still plans to move its main base to a smaller site near St Paul’s Cathedral in early 2027, but the new Canary Wharf lease will allow it to continue operating from multiple London locations.

Suzy White, HSBC’s chief operating officer, said: “Continuing to operate from multiple sites in London, as we always have, ensures we are easily accessible for our clients across the capital.”

The decision is a welcome boost for the privately owned Canary Wharf Group, which has faced a string of corporate departures since the pandemic, including ratings agency Moody’s and law firm Clifford Chance.

However, there are signs the tide may be turning. Visa is reportedly considering relocating its European headquarters to the district, while Spain’s BBVA has recently signed a lease for 250,000 sq ft.

In response to shifting work patterns, Canary Wharf Group – co-owned by the Qatar Investment Authority and Brookfield – has been diversifying the area’s appeal by expanding its retail, leisure and hospitality offering, as well as increasing residential units and hotels to boost evening and weekend footfall.

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HSBC reverses Canary Wharf exit plan amid desk shortage and return-to-office push