Last week Sheffield was hit by the devastating news that almost 600 Sheffield HSBC workers have now been made redundant. However the bad new doesn’t end there, as leading fixed fee estate agent, eMoov.co.uk, has noticed that these redundancies are already causing a ripple effect through Sheffield’s property market.
HSBC have announced that they are moving 840 internal IT roles out of the UK to other sites around the world, including India China and Poland, by the end of March 2017. 595 of the roles being moved abroad are currently based in Sheffield and Tankersley,
Although reported to be a key regional hub for HSCB and a major center of excellence for IT operations, HSBC in Sheffield, is cutting nearly 20% of its 3,200 employees as part of a £3bn savings drive. This has come as quite a blow to those employers who had to wait nearly a year to find their jobs were going, after HSBC announced in June 2015 it was preparing to axe roles in the UK.
With HSBC being one of Sheffield’s biggest employers this can only have a devastating effect on the local economy and property market. According to property experts, eMoov.co.uk, this is exactly the case, with some home-buyers and sellers already having to pull out as a direct result of the new.
The news of redundancy is always a devastating one. The timing of HSBC’s redundancies could not be a worse, as several other prominent employees in the area have announced also cuts.
This latest move by HSBC has actually affected one of my clients immediately, who was in the process of selling their house, but after contacting London and Country, the UK’s largest mortgage advisor, has been told that she can no longer move until she has found another job.
I cannot stress the severity of this news for people living in Sheffield since a lot of residents are employed by HSBC. People are now are having to put their lives on hold as employers are being kept in the dark about when they will be without a job from. Sheffield is supposed to be on the up, with recent plans set to go-ahead for a £300m extension to Meadowhall, however, this is a huge setback for many, especially those wanting to get on the ladder.
Although the initial impact is only felt by those directly affected by these cuts, the economic impact will stretch far beyond these poor individuals. Not only will it impact Sheffield as a city, but the economic slowdown will inevitably hit the Sheffield property market as a whole as demand falls, bringing prices with it.
If you’re looking for an estate agent in Sheffield, click here to contact Emily Parkin and get a free valuation.