Standard Chartered has a strong business case to move its headquarters from London to Singapore due to the banking tax, Aberdeen Asset Management has said.

StanChart along with HSBC face a one-third increase to $2billion in their combined bill under the UK tax, equating to an extra $1bn in two years.

Hugh Young, managing director of Aberdeen's Asia business, said "in a sense it should move overnight".

Aberdeen is the second biggest shareholder in the bank with a 9.4per cent stake.

Mr Young said Stanchart did not have the same UK connections to complicate the issue.

"It's a far clearer business decision for Standard Chartered as really a far purer emerging market bank with no banking network in the UK, no banking network in Europe," Mr Young said in an interview.

Its logical move would be to Singapore , its principal franchise besides besides Hong Kong and Africa.