HSBC urges SVB UK staff to assure clients their cash, loans are safe – memo

cde.news desk 15 March 2023, 15:00 · 1 min read

epa10519745 An SVB logo is shown on a smartphone outside a HSBC bank branch in London, Britain, 13 March 2023. The HSBC Holdings financial services company has announced it has bought SVB (Silicon Valley Bank) for one British Pound (£1). The deal protects depositors assets and prevents the US bank's UK operations from collapse. EPA-EFE/ANDY RAIN

LONDON, March 15 (Reuters) – HSBC’s top bosses have called on employees at the rescued British arm of failed U.S. lender Silicon Valley Bank to assure clients “their deposits are safe and loans are supported” as the process of integration following its ‘white knight’ takeover begins.

“Please continue to operate as usual … it is vital that you continue to serve your clients as you have done up to now,” a memo sent to SVB staff on Tuesday and posted by HSBC UK Chief Executive Ian Stuart on the professional networking site LinkedIn said.

HSBC on Monday agreed to buy SVB UK for 1 pound in a rescue deal brokered by the Bank of England and the UK finance ministry, following the rapid demise of its parent in the biggest U.S. bank collapse in more than a decade.

“We’ve put close to 2 billion pounds of liquidity into SVB UK and we’re ready to deploy more cash and more liquidity, as needed,” the memo, which was also signed by group Chief Executive Noel Quinn, added.

A spokesperson for HSBC confirmed the authenticity of the memo, without providing further comment.