UK clearing houses approved

UK CLEARING houses have been given the green light to continue serving EU clients in the event of a no-deal Brexit.

Britain dominates multibillionpound clearing for derivatives traded by European customers.

The houses ensure stability by acting as the buyer or seller of last resort if a customer defaults. The European Securities and Markets Authority said it has recognised LCH Ltd, ICE Clear Europe Ltd and LIM Clear Ltd to provide their services in the European Union “in order to limit the risk of disruption in central clearing and to avoid any negative impact on the financial stability of the EU”.