The Daily Telegraph

Bank to promote City as finance hub

- By Simon Foy

THE Bank of England has admitted it will be forced to promote the City of London as a post-brexit financial hub after Rishi Sunak rammed through new competitiv­eness rules.

Vicky Saporta, executive director at Threadneed­le Street, said the Government’s decision to make regulators promote internatio­nal competitiv­eness, rather than just protect financial and monetary stability, will significan­tly change how the Bank’s Prudential Regulation Authority (PRA) operates.

She said: “Let me be clear. I – and the PRA as a whole – know that this is a very important change ...

“This is a big deal. It will make a big difference.

“We take the new objective seriously. We will make rules differentl­y as a result.”

It comes after months of tensions between ministers and the Bank of England over the planned changes, which force regulators to take into account the impact of proposed rules on competitio­n alongside financial stability.

Officials at the central bank have publicly criticised the Government’s plans to deregulate parts of the City in a bid to boost the Square Mile.

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