HBSC is one of the solvent British banks that the UK government did not bail out – but it is now bailing out of Britain.

Most of the bank’s British customers – many of whom still refer to it as “Midland” after the local bank it took over in 1992 – probably do not know, or care, what the acronym HSBC means.

Fun fact: HSBC is actually the Hong Kong and Shanghai Banking Corporation.

It moved its base of operations to the UK prior to the Chinese takeover of Hong Kong in 1997.

It now appears to be returning to its roots: the Group Chief Executive is transferring his office back to Hong Kong.

The official explanation is that the move reflects the growing importance of the Far East in the financial markets.

Fair enough – it is a plain statement of fact that the Far East is growing in importance.

Yet there are other factors at work: British politicians threatening increased regulation – including, but not only, bonus restrictions – and increasing higher rate taxes are not exactly encouraging successful bankers to remain in Blighty.

This blog always predicted that the recession ought to end fairly quickly – and we are pleased to see that particular prediction being vindicated – but we have also predicted that the world that emerges from the recession will be a very different place.

We are beginning to see the shape of that world – one in which economic power is shifting from the old Western powers, still borrowing to maintain their extravagant governments, to business-savvy countries hungry for success.

In making their own location decisions, entrepreneurs need to bear in mind where the people with money are likely to be.