JPMorgan CEO Warns High Taxes Could Push Companies Out of New York

But Wall Street isn't leaving the city just yet, as demand for office space remains strong.

Apr. 6, 2026 at 7:26pm

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A minimalist, photorealistic studio still life featuring a stack of financial documents, a pen, and a calculator arranged on a clean, monochromatic background, symbolizing the abstract concepts of corporate strategy and finance.As the debate over high taxes and business competitiveness continues, New York City's office market remains resilient, defying predictions of an exodus.Dallas Today

JPMorgan CEO Jamie Dimon warned in his annual letter to shareholders that high corporate and individual income taxes could push companies and employees out of high-tax cities like New York. However, the office market in Manhattan remains robust, with companies continuing to sign leases for high-quality office spaces and vacancies down compared to a year ago.

Why it matters

Dimon's warning highlights the ongoing debate around the impact of high taxes on business competitiveness and the potential for companies to relocate to lower-tax states. While some financial firms have expanded their presence in Texas, the data shows that New York City's office market remains in high demand, suggesting that the city's appeal as a business hub has not yet been significantly diminished by tax concerns.

The details

In his letter, Dimon did not directly name New York City Mayor Zohran Mamdani, who supports increasing taxes on the wealthy and corporations. Dimon said 'higher taxes mean lower returns on capital and less competitiveness by their nature.' However, the office market data tells a different story, with commercial real estate firm JLL reporting that in the first quarter of 2026, companies are continuing to sign leases for high-quality office spaces in Manhattan, and vacancies are down 2.2% compared to a year ago. The demand is being driven in part by AI companies anticipating near-term hiring.

  • JPMorgan's head count in New York City dropped from 30,000 to 24,000 over the past decade.
  • JPMorgan's head count in Texas has gone from 26,000 in 2015 to 32,000 today.

The players

Jamie Dimon

The CEO of JPMorgan Chase, who warned in his annual letter to shareholders that high corporate and individual income taxes could push companies and employees out of high-tax cities like New York.

Zohran Mamdani

The Mayor of New York City, who supports increasing taxes on the wealthy and corporations.

JLL

A commercial real estate firm that found in its Q1 2026 report that companies are continuing to sign leases for high-quality office spaces in Manhattan, and vacancies are down 2.2% compared to a year ago.

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What they’re saying

“Companies need to remain competitive in this very tough, fast-moving world. And higher taxes mean lower returns on capital and less competitiveness by their nature.”

— Jamie Dimon, CEO, JPMorgan Chase

“Sometimes you see companies leaving states, but migration also shows up in shifts of employees out of certain states.”

— Jamie Dimon, CEO, JPMorgan Chase

What’s next

The ongoing debate around the impact of high taxes on business competitiveness and the potential for companies to relocate to lower-tax states will likely continue, with both proponents and opponents closely watching the trends in New York City's office market and financial sector employment.

The takeaway

While Dimon's warning highlights the concerns some business leaders have about high taxes, the current data suggests New York City's appeal as a business hub has not yet been significantly diminished. The city's office market remains robust, indicating that companies are still finding value in maintaining a presence in the city despite the tax environment.