Burberry is to relocate 300 jobs from its London offices to Leeds as part of cost-saving measures in a move that could see several redundancies.
The fashion retailer said it will "reduce its office space requirements in London" as it opens a new business services centre in the Yorkshire city.
Staff at its London headquarters have begun a consultation where they will be offered the chance to move to the North or face the prospect of redundancy.
The move is part of a plan that aims to deliver at least £100 million in cost savings by 2019.
It is also understood the fashion chain could also leave one of the two buildings it occupies on Horseferry Road, in London's Victoria, as a result.
Christopher Bailey, chief creative and chief executive officer, said: "This is an important move for Burberry as we continue to deliver on the strategic priorities we outlined last year.
"In addition to the benefits it will bring to the business, opening an office in Leeds reinforces our commitment to the UK and to Yorkshire, home of our iconic trench coat."
The Leeds office, which opens in October, will bring together teams from finance, HR and procurement, as well as some customer service and IT roles.
However, Burberry's plans for a flagship manufacturing and weaving facility in Leeds remain on hold.
Chief finance officer Julie Brown has said the group was still committed to Yorkshire, but was "taking a moment to think through" its plans for a new facility in Leeds South Bank.
Burberry first revealed it was pausing plans for the site last July in the wake of Brexit uncertainty.
The group has been leading a turnaround plan that has included simplifying the product line, revamping its digital store and cutting costs.
Mr Bailey is also stepping down to become president and chief creative officer as part of the overhaul and will be succeeded by Marco Gobbetti in July.