Bank of Ireland to Exit US Leveraged Finance, Closing New York, Chicago, and Stamford Offices

Bank of Ireland plans to fully withdraw from the US leveraged finance market, resulting in the closure of its offices in New York, Chicago, and Stamford, Connecticut, by the end of 2027. The move will impact 34 employees, most of whom are expected to receive redundancy packages.

Strategic Shift and Loan Book Run-Down

The decision follows the bank’s announcement last month to wind down its US leveraged acquisition finance unit. According to a company spokesperson, the New York and Chicago offices will close later this year, with the Stamford office slated for closure in 2027. The €1.2 billion US leveraged acquisition finance loan book will be managed out of Dublin over the next three years as it is gradually reduced.

Impact and Support for Employees

Approximately 34 staff members will be affected by the closures. Bank of Ireland stated it is providing a range of support options and working closely with impacted colleagues. “We have a range of supports and options in place for colleagues and we are working closely with them,” the spokesperson said.

Continued Commitment to US Corporate and Business Lending

Despite the exit from leveraged finance, Bank of Ireland maintains its commitment to supporting customers expanding into the US or establishing operations in Ireland. The bank’s corporate and business lending teams, specializing in foreign direct investment (FDI) and corporate lending, remain based in Ireland. “As a leading corporate and business lender, with specialist FDI and corporate lending teams, our appetite to support customers seeking to expand into the US or establish operations in Ireland is undiminished,” the spokesperson added.

Historical Context and Investment in Transatlantic Relations

The closures mark the end of a 50-year presence for Bank of Ireland in New York. The bank first established an office in Manhattan in 1976 to serve the Irish diaspora. The move comes as Taoiseach Micheál Martin meets with US President Donald Trump and Vice President JD Vance in Washington D.C. To discuss transatlantic investment.

Irish Investment in the US Economy

Irish companies are planning significant investments in the US economy. Smurfit Westrock intends to invest $1 billion annually over the next five years, while Kingspan plans to spend $1 billion over five years on manufacturing and brownfield site renovations. Glanbia is investing approximately $100 million this year to expand its US capacity, primarily in New Mexico and Ohio. Kerry Group, Applegreen, and CRH also have ongoing investment plans in the US.

Bank of Ireland’s US History

Bank of Ireland initially entered the US market in 1976. In 1988, it acquired First New Hampshire Bank, which was later merged with Citizens Financial Group in 1995 following a property market slump. Bank of Ireland sold its 23.5% stake in Citizens in 1998. The bank’s former investment management unit, Bank of Ireland Asset Management (BIAM), was sold to State Street in 2011. The US leveraged finance business, established in 2002, experienced significant loan losses in recent years, contributing to a €127 million group loan loss charge in 2024 and €110 million in impairment losses in 2025.