š Share this article JP Morgan CEO Authorizes Ā£3bn London Tower After British Officials Promises The top executive of JPMorgan has given final approval on a massive three billion pound headquarters building in London after commitments from UK government officials about business-friendly measures. The JP Morgan chief executive, Jamie Dimon, gave final approval the UK expansion plan last Friday. Sequence of Events The Wall Street banking giant, which along with another major bank announced significant expansion projects shortly following being spared tax increases in the Treasury's autumn budget, only gave final approval recently. This approval came after a trip to New York by the prime minister's envoy, who held discussions with the JP Morgan chief to discuss commitments about the business environment. Financial Background The discussions happened shortly prior to the chancellor revealed Ā£26bn in tax rises in a budget that exempted financial institutions from higher levies, after substantial advocacy from the financial sector. "The investment ... would probably not have been announced if this economic statement had been perceived as hostile to financial services." Project Details On this week, the banking giant disclosed plans to develop a 3 million square foot building in London's financial district, which will function as its main London office and host a significant portion of its 23,000 UK staff. The bank emphasized that the investment would depend on "a continuing positive business environment in the UK". Financial Benefits The bank has indicated that the project could bring substantial economic value to the national economy over the next six years. The Treasury chief commented positively about the project, describing it as a "multibillion-pound vote of confidence in the UK economy". Additional Context A source familiar with the bank's investment strategy said that the decision to invest was "the result of comprehensive analysis" and that "it was impossible to predict whether financial institutions were going to be facing higher charges before the announcement". The banking executive stated that the "British authorities' focus of business expansion has been a significant element in helping us make this decision". Related Developments A second financial institution announced that it would enlarge its Midlands operation and hire additional workers, in a strategy that would substantially expand its staffing levels in the England's major regional center. The Treasury had examined raising the financial sector tax in the UK, as it explored methods to increase income after rejecting additional income levies, but eventually determined against the measure. Banking organizations in the UK face a 28% corporation tax rate, which is exceeding the standard 25%, as well as a additional charge on their British operations.