Brexit leaves London in turmoil! 400 financial firms shift to European Union

London, Apr 16: The recent study that the Britain-based Think Tank, New Financial, has practiced suggests that London has been devastated ever since the Brexit, with over 440 financial firms already shifting their business and staff from UK to the European Union.

 

 

 

Over 400 financial firms in Britain have shifted activities, staff and a combined trillion pounds ($1.4 trillion) in assets to hubs in the European Union due to Brexit, with more pain to come, says the study from New Financial think tank. The study states, "We think it is an underestimate and we expect the numbers to increase over time: we are only at the end of the beginning of Brexit."

 

 

 

 

The huge transfer is triggered due to non-inclusion of financial services in the bloc's trade deal, whereby the EU offered Britain little in the way of direct market access for the financial services. According to the 'New Financial' study, "That access is unlikely to be forthcoming, so it is perhaps better for the industry to take the damage from

Brexit on the chin and focus instead on recalibrating the framework in the UK so that it is more tailored to the unique nature of the UK financial services industry."

 

 

 

 

The study also suggests that some 7,400 jobs have moved from Britain or been created at new hubs in the EU. At the same time, the process has also resulted in benefits to other places. Dublin has emerged as the biggest beneficiary with 135 relocations, followed by Paris with 102, Luxembourg 95, Frankfurt 63, and Amsterdam 48. The study has also stressed the fact that, "This redistribution of activity across the EU has wound the clock back by about 20 years."