UK Intends To Stay Top Financial Center After Brexit
Since Britain, the largest financial center of the European Union, is leaving the EU in March next year, questions about the ability of banks, insurers and asset managers in the United Kingdom to continue to serve customers in the EU are raised. Brussels indicated that financial services in the UK are likely to receive the same limited access to markets as other non-EU countries such as the United States and Singapore.
The UK government continues to insist that financial sector issues remain key to Brexit negotiations. The priority is to ensure that financial services remain a national priority and support growth. Still, views of the UK Finance Ministry and the Bank of England differ in the issue of financial services regulation in the City of London after Brexit.
The British Finance Ministry intends to adhere to such a development of events, in which Britain will be closer to the European Union after the country leaves the bloc. However, the Bank of England does not agree to obey EU rules, advocating full trade and customs independence. Representatives of the regulator even fear that the Finance Ministry is going to give powers.
The EU's chief negotiator for Brexit Michel Barnier said in April that access to the UK markets for foreign financial firms of the European Union can remain unhindered after Brexit. This reduces the chances that the UK financial sector will eventually receive a deal that London hopes for.