An organisational switch-up at HSBC, effective 2025, sees the bank prioritise its Hong Kong and UK operations with dedicated business lines.
HSBC Holdings will operate through four businesses from 1 January 2025. Georges Elhedery, group CEO, commented: “By making these changes, we can better focus on increasing leadership and market share in those businesses which have clear competitive advantage and the greatest opportunities to grow. This is how we will fast forward our plans to execute our strategy.”
The new structure will help the firm to improve the delivery of its strategic priorities, it said, while reducing the duplication of processes and decision-making that currently prevent alignment and agility across the firm.
Half of the businesses cover HSBC’s main geographies: Hong Kong and the UK. The Hong Kong business will cover personal and commercial banking, led by David Liao and Surendra Rosha, APAC CEOs and members of the group operating committee. The pair will also oversee the ‘Eastern Markets’ group, representing the APAC and MENAT regions.
HSBC’s new UK business, covering its ring-fenced bank, will encompass personal banking, including First Direct and M&S Bank, and commercial banking. The latter also includes innovation banking, which will be under the purview of HSBC UK CEO Ian Stuart.
International wealth and premier banking, a particular priority in Asia and the Middle East, will bring the company’s non-Hong Kong and UK premier banking services, global private bank, asset management and insurance businesses under one umbrella. This division will be led by Barry O’Byrne, CEO of wealth and personal banking at the company.
The final business, corporate and institutional banking, covers Western Markets: the non-ring-fenced UK bank, Europe, and the Americas. It combines HSBC’s ex-UK and Hong Kong commercial banking business and the global banking and markets business. The division will be led by Michael Roberts, US and Americas CEO, who is also responsible for the broader ‘Western Markets’ division.
“Our home markets of the UK and Hong Kong, together with our corporate and institutional banking as well as our wealth and Premier banking businesses, are the core strengths of HSBC,” Elhedery stated.
Further simplifying its structure, the Group Executive Committee, currently consisting of 18 members, will be cut down to a 12-person operation from 1 January, HSBC added.
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