Brexit: expert qualifies financial sanctions as “politically embarrassing”
And despite the catastrophic predictions of opponents, just six months after the UK freed itself from EU rules and regulations, the mood in the Square Mile is now “increasingly optimistic”, according to the draft. CityUnited. The think tank is committed to promoting and consolidating the city’s position as one of the world’s most important financial centers – a position it continues to occupy, according to President Professor Daniel Hodson.
Regulatory restrictions that came into effect in early 2021 mean shares valued at billions of euros per day previously bought and sold in the City are now traded in the Netherlands.
However, Professor Hodson stressed that the long-term impact on the city would be minimal.
He said Express.co.uk: “Not only are the decision-makers and therefore the decisions themselves still taken in the City, but this is where the added value is and will remain.
Boris Johnson was assured that the mood within the city was “increasingly optimistic”
Professor Daniel Hodson, President of the CityUnited Project
“Trading platforms are purely thin-margin methods of processing electrons. And the EU’s financial markets are tips for the single currency.
Professor Hodson added: “In contrast, the city’s markets are a liquid, deep, diverse multi-currency business that could never be replicated on the continent, with associated multi-currency multi-product clearing, especially since Britain independent adopts secure but increasingly market-sensitive regulation, building our enormous Common Advantage of the law.
Leigh Evans, vice chairman of think tank The CityUnited Project, said: “The City of London remains the financial center in Europe by a very considerable margin.
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Howard Davies Chairman of NatWest Bank
“Relatively minor events like the move of stock trading to Amsterdam were not only fully predicted in advance, they are also small-scale when it comes to the entire financial might of the company. City of London.
“By the way, the electronic processing of the stock transactions themselves is still happening in UK data centers. “
Mr Evans explained: ‘UK financial services have not had an easy exit from the EU so far, but we are now seeing an increasingly optimistic mood among practitioners in the city.
Boris Johnson pledged to ‘take back control’ after Brexit
Amsterdam overtook London in January
“The UK continues to be the most popular place to do business, with its language, time zone, cultural appeal and widely respected common law system.”
Speaking last month, NatWest Bank Chairman Howard Davies said the “golden age” of the City of London as Europe’s financial capital was over after Brexit.
The city has been largely cut off from the EU since Britain’s full departure on December 31, 2020, with bankers and city officials not expecting direct access to the bloc anytime soon.
Key moments of Brexit
In a column for Project Syndicate, Mr Davies wrote: “Almost five years after the Brexit referendum and five months after Britain left the European Union, London’s future as a hub. global finance seems assured.
“But although the City will remain the largest financial center in Europe, its golden age as the financial capital of Europe is over.”
The debate over the City’s future has so far remained a “dialogue of the deaf”, as Brexit supporters claim the blow would be minimal, while opponents of the EU exit predict “the gloom and death, “said Davies, who is also a former deputy governor of the Bank of England and chairman of the UK Financial Services Authority.
City of London: one of the world’s leading financial institutions
COVID-19 has blurred the picture, making it more difficult for staff to move from London to the EU, he explained.
Trading in equities and euro swaps has moved from London to the mainland, but it will take time for any putative rivals in the EU to develop a plausible matching offer, Davies said.
Bankers want Britain to focus on making the City more attractive to global investors and Brussels is scrutinizing Britain to see how far it will go to deviate from EU rules.