The worst case scenario for the UK’s exit from the EU could drive a short-term “fragmentation” of the investment banking industry as jobs leave London for different venues around Europe, according to JP Morgan's top banks analyst Kian Abouhossein.

In a note published on July 11, Abouhossein, head of JP Morgan's European banks equity research team, said the Brexit vote had led to "structural uncertainty" for investment banks, particularly due to a "lack of clarity" on its implications for passporting rules that allow banks to sell products and services from a branch in one EU country to others.