Banking giants holding secret US trade talks

BANK chiefs are secretly discussing how to strengthen trade ties between the US and UK after Brexit.

A group of financiers led by Barclays chairman John McFarlane have been examining how the transatlantic partnership can thrive when Britain quits the European Union.

Before Brexit, doom-mongers warned bankers would flee London for the Continent – but the trade talks suggest the City is already seeking new opportunities. Pro-Brexit president Donald Trump has already backed a trade deal between the two countries and heaped criticism on the EU.

David Buik of stockbroker Panmure Gordon said: ‘It appears there are going to be greater ties between the US and the UK, which would make sense.’

The banking talks are being overseen by TheCityUK, a lobby group for financial services chaired by McFarlane. Barclays’ American-born chief executive Jes Staley is leading a US sub-committee on trading ties. Wall Street giant JPMorgan’s European chairman Mark Gavin is reportedly running a UK sub-committee.

One source at a leading law firm said they were seeking to do the bare minimum to keep access to the EU. Since the referendum, only HSBC and UBS have unveiled their plans to move jobs abroad, with each saying 1,000 roles would go. However, one former regulator claimed even this was likely to be an over-exaggeration for bargaining purposes.

‘The banks will go to most financial centres and get the promise of concessions in exchange for relocation,’ he said. ‘Then they will come back to London and say to the Prime Minister, “We really would like to be in London but we’ve been offered all these inducements, so what can you offer us?”.’