UK | London as a financial centre, post Brexit. Squeezed, not crushed

Our central view is that London’s dominance of Europe’s financial services sector is not hugely threatened by the failure to include the sector in the recent UK-EU trade deal. However, we expect London to gradually lose market share, partly because of Brexit.

What you will learn:

  • The EU and the UK plan an agreement on financial services by the end of March. We expect a deal that will give UK companies similar access to EU markets as at present.
  • But it is possible that over time either the EU or the UK will change their thinking, resulting in significant loss of UK access. The reasons for making major changes are not compelling, however.
  • There is a more immediate concern regarding skill shortages, if a mixture of Brexit and Covid have drawn skilled EU nationals away from London in 2020.

Topics: Brexit, Cities, United Kingdom, Europe, London, Financial Services

London as a financial centre, post Brexit. Squeezed, not crushed - iPad