HSBC has announced a restructuring that will see it discontinue its operations in Turkey, reduce its presence in Brazil and move part of its UK-based global trade and receivables finance (GTRF) team to Birmingham.

The bank will also cut 25,000 jobs worldwide, including 8,000 in the UK – a move widely assumed to be a consequence of the country’s tax policy.

As part of the restructuring, HSBC will create its UK ring-fenced bank to comply with the country’s Banking Reform Act, introduced in 2013 to protect consumers from being affected by “high-risk” investment banking activities.

The ring-fenced bank, which will be based in Birmingham and should be completed by 2018, will include UK retail, private and commercial business – including some GTRF business. Other GTRF clients will continue to be handled by the bank’s global banking and markets (GB&M) team (outside of the risk fence), which will remain London-based.

GTR understand that whether a GTRF deal is handled out of Birmingham or London will be decided on a case-by-case basis, according to the risks associated with it.

HSBC decline to comment on whether the GTRF team would be affected by the job cuts.

In addition to moving its UK headquarters to Birmingham, HSBC will complete the review of its global headquarters’ location by the end of 2015. These could then move from the UK (where they have been since 1992) to another destination.

We recognise that the world has changed and we need to change with it. Stuart Gulliver, HSBC

While the bank will discontinue all activities in Turkey upon selling its operations there, it “plans to maintain a presence in Brazil to serve large corporate clients with respect to their international needs”.

Additionally, the group will invest more in its Asian operations, particularly in the Pearl River Delta in Guangdong province, China, and in the ASEAN region. This will include the expansion of HSBC’s asset management and insurance activities in Asia, with the aim to deliver above GDP revenue growth from its international network through investment in foreign exchange, payments and cash management, and GTRF. The bank will also continue its investment in the internationalisation of the Chinese renminbi (Rmb).

With these changes, HSBC hopes to reach a return on equity of greater than 10% by 2017.

Stuart Gulliver, group chief executive, says: “We recognise that the world has changed and we need to change with it.

“The world is increasingly connected, with Asia expected to show high growth and become the centre of global trade over the next decade. I am confident that our actions will allow us to capture expected future growth opportunities and deliver further value to shareholders.”