Word has come from Goldman Sachs towers in New Jersey that thousands of workers may leave Britain for the EU

Goldman Sachs is preparing to move almost 2,000 highly paid staff out of London if the government opts for a “hard” break from the EU.

The Wall Street giant will switch nearly one in three of its bankers to rival European cities if Britain loses preferential access to the single market.

The spectre of such a large exodus will escalate fears that a “hard” Brexit could prompt multinationals to cut investments in Britain. Business is increasingly concerned over the UK’s future trading relationship with the EU.

In an open letter this weekend, the CBI and the EEF, which represents manufacturers, said the government should prioritise free trade in its divorce talks with the EU, which begin in March.

Carolyn Fairbairn, director general of the CBI,