,
6 tweets,
2 min read
Read on Twitter
More than 275 financial firms are moving a combined $1.2 trillion (£925.4 billion) in assets & funds and thousands of staff from Britain to the European Union in readiness for Brexit at a cost of up to $4 billion, a report from a think tank said on Monday. uk.reuters.com/article/uk-bri…
2/. The report by the New Financial think tank, one of the most detailed yet on the impact of Brexit on financial services, said Dublin alone accounted for 100 relocations, ahead of Luxembourg with 60, Paris 41, Frankfurt 40, and Amsterdam 32.
3/ 10 large banks & investment banks are together moving £800 billion of assets from U.K. - or 10 percent of banking assets in the country. A small selection of insurers have shifted a combined £35 billion in assets & a handful of asset managers have moved a total of £65 billion
4/ William Wright, founder and managing director of New Financial, said the hit to London was bigger than expected and would get worse.
“Business will continue to leak from London to the EU, with more activity being booked through local subsidiaries,” Wright said.
“Business will continue to leak from London to the EU, with more activity being booked through local subsidiaries,” Wright said.
5/ “This will reduce the UK’s influence in European banking and finance, reduce tax receipts from the industry, and reduce financial services exports to the EU.”
A 10 percent shift in banking and finance activity would cut UK tax receipts by about 1 percent, the report said.
A 10 percent shift in banking and finance activity would cut UK tax receipts by about 1 percent, the report said.
6/. ”Relocations have cost firms $3 billion to $4 billion, which will be passed on to customers and shareholders” the report said.
