How the City can gain from Brexit
The Daily Telegraph
“The City, it scarcely needs saying, is far from happy about Brexit, and is particularly unhappy about the way the negotiations seem to be going,” says Jeremy Warner. One senior banker puts the chances of reaching a decent deal for financial services at less than 10%. But beyond the grim forecasts, it’s possible to discern a new future, “given the political will”. If Brexit provides an opportunity to reform acres of EU “regulatory gobbledygook”, the City should “attract risk management of huge amounts of additional offshore international capital”. Nobody is advocating complete deregulation: an “unsafe” system is “more likely to deter capital”. But making competitiveness a priority is preferable to seeking “regulatory equivalence with Europe”, which would condemn us “to rule-taking with no say in the way the rules are made”. What the Continentals fear most is a breakaway City that can compete on its own terms internationally, “leaving the EU an entirely closed zone for finance”. Get the regulation right, and “what the UK loses on one hand, it may gain on the other”.