In the aftermath of the Britain's exit from the European Unions, the effect of it is slowly starting to show on businesses. In one of the biggest shocks, Infosys shares slumped over 3 per cent on Tuesday, following Royal Bank of Scotland's decision to cancel a project to set up a separate bank in the United Kingdom. RBS announced last week that it will not pursue its plan to separate and list a new UK standalone bank, Williams & Glyn (W&G), for which Infosys was a key technology partner. "Infosys has been a W&G program technology partner for Consulting, Application Delivery and Testing services, and subsequent to this decision, will carry out an orderly ramp-down of about 3,000 persons, primarily in India, over the next few months," Infosys said in a statement.

The cancellation of the deal is likely to hit Infosys revenue and earnings per share during the current fiscal year, analysts said. But an Infosys spokesperson clarified that these jobs are not being cut and that the employees will be reallocated to other projects. RBS is a key relationship for Infosys and the company looks forward to further strengthening strategic partnership and working with them across other strategic and transformation programmes, they said.