Brexit and the City

SIR – You rightly stress the importance of the Government putting the future of the City at the heart of its Brexit negotiations (leading article, June 1).

As the Chancellor of the Exchequer said on The Andrew Marr Show, to leave the EU without any agreement governing our future trading relationship would be very bad, but to leave under the terms of a deal that sought to punish Britain for leaving would be even worse.

Any deal that sought to deny UK access to European markets while maintaining equivalence of regulation would be a “punishment” deal. Surely the EU’S negotiators recognise that the fragmentation of the City would have an adverse effect on the financial stability and financing of the European economy.

Our negotiators must persuade their interlocutors not to put narrow political objectives in the way of reaching an agreement that continues to provide access for European financial firms to UK financial markets, and vice versa. The Government should adopt a more confident approach. This will encourage City firms not to put unnecessary, selfdamaging Plan Bs in place. Lord Trenchard (Con)

London SW1

SIR – I agree that financial services are of great importance in the Brexit negotiations, but industries such as agriculture, fishing and manufacturing are just as important – and have not been bailed out by the taxpayer while paying themselves huge salaries. RG Hopgood

Kirby-le-soken, Essex