Banks poised to relocate out of UK over Brexit

Thrugelmir

steampowered wrote: »

If you are a bank headquartered within the EU, you can place yourself in any EU company, be regulated there and do business in other EU countries. For example the Italian regulator could not start imposing undue restrictions on your ability to do business in Italy because that is contrary to the UK's free movement of goods and services rules.

Before doing so a banking licence would need to be obtained which in itself is a fairly arduous process. Given the pressure on the banks bottom profit lines and the slow spiral decline in intra bank trading. Is the capacity in the markets for all major banks to move operations to Europe on financial grounds. Or will there simply be a fewer number of big players in major financial centres across Europe.

Carl31

Rolandtheroadie wrote: »

http://www.huffingtonpost.co.uk/entry/brexit-fears-prompt-britains-biggest-banks-to-prepare-to-leave-uk_uk_580c628de4b0fce107d0e564

http://www.independent.co.uk/news/uk/politics/brexit-banks-planning-to-leave-uk-early-next-year-anthony-browne-british-bankers-association-a7376141.html

https://www.theguardian.com/politics/2016/oct/22/leading-banks-set-to-pull-out-of-brexit-uk

http://news.sky.com/story/top-banks-planning-to-move-abroad-over-brexit-fears-banking-boss-10629202

all your links point to the same story, in different publications

Ballard

This article pretty much sums up my fears.

http://www.independent.co.uk/voices/brexit-the-city-bankers-stock-market-voters-poor-economy-a7376611.html?cmpid=facebook-post

A_Medium_Size_Jock

Ballard wrote: »

This article pretty much sums up my fears.

http://www.independent.co.uk/voices/brexit-the-city-bankers-stock-market-voters-poor-economy-a7376611.html?cmpid=facebook-post

I realise that the link below isn't exactly recent BUT the same arguments (and indeed more, if threads on these forums are anything to go by) STILL apply:
http://www.telegraph.co.uk/business/2016/06/03/why-banks-wont-leave-if-we-vote-for-brexit/
Also if things really were so bad as some suggest, explain why Deutsche Boerse still want a merger with LSE?
Just one example; there are plenty more BUT if you are only going to view possible negatives ............................

Thrugelmir

Ballard wrote: »

This article pretty much sums up my fears.

http://www.independent.co.uk/voices/brexit-the-city-bankers-stock-market-voters-poor-economy-a7376611.html?cmpid=facebook-post

Seems the journalist doesn't know what GDP actually is.

Any shrinkage in GDP caused by the loss of the banks must affect state spending on such fripperies as the NHS, education and benefits.

As far as the banks are concerned. Turnover is vanity, profit is sanity but cash is king. RBS in case you missed it. Has lost over £50 billion since 2008. With more to follow. Hardly contributing to the Exchequers funds with tax revenue.

Ballard

If we ignore corporation tax and the like and simply look at employees tax/NI from the city, by my fag packet calculations that'd easily be over £200m per week using conservative figures. In reality it'd be much higher. We all know that £350m is a huge amount so £200m can't be bad either.

Conrad

Ballard wrote: »

If we ignore corporation tax and the like and simply look at employees tax/NI from the city, by my fag packet calculations that'd easily be over £200m per week using conservative figures. In reality it'd be much higher. We all know that £350m is a huge amount so £200m can't be bad either.

Banks wont be moving en-mass to the over-regulating, intrusive EU. The city is the global finance centre, that's why it's the epi-centre of the new trillion dollar Masala and Dim Sum bond trade.

Ballard

Conrad wrote: »

Banks wont be moving en-mass to the over-regulating, intrusive EU. The city is the global finance centre, that's why it's the epi-centre of the new trillion dollar Masala and Dim Sum bond trade.

The UK financial sector is under regulated is it? There are numerous posts on this very forum arguing exactly the opposite.

You've presumably recently read about those bond markets as you've posted the same thing twice now. Well done you.

The city is the financial capital of the world and will probably remain so but there's no compulsion for the status quo to remain indefinitely.

A_Medium_Size_Jock

STILL only looking for the negatives, Ballard?
Sorry but here's another more-positive report:
http://www.telegraph.co.uk/business/2016/10/24/four-reasons-why-banks-wont-leave-the-city-of-london-after-brexi/

A_Medium_Size_Jock

And another, from today ..... explaining how hurting the City would be to the detriment of all Europe:
http://www.conservativehome.com/platform/2016/10/xavier-rolet-hurting-the-city-would-hurt-the-european-economy.html


Plus one on how (so far) Brexit has a "silver lining":
http://uk.reuters.com/article/uk-britain-eu-banker-idUKKCN12P1HJ?il=0