Hedge fund manager Brevan Howard is to open an office in Geneva offering staff an opportunity to move out of London as worries grow over UK tax and regulation, according to the Financial Times.

A letter to clients obtained by the FT said premises in Geneva had now been acquired and that the office was to open soon.

The move comes at a time when commentators and figures such as London Mayor, Boris Johnson, have warned that a planned new UK top income tax rate of 50 per cent, plus other levies and regulations, will drive hedge funds and other financial institutions out of the UK to places such as Switzerland.

Unnamed sources said the new office will hold up to 50 staff and that it will be up to individual members of staff to decide whether or not to relocate.