UK wont be part of the single marker a senior EU commission finance official said last thursday. The UK will also have to access clients in the EU bloc like any other third party country.
Speaking at the capital markets summary on Thursday, Oliver Gursent , general director of the Comissions financial directorate, said was was ‘acceptable’ that the United Kingdom has decided to leave the EU post Brexit but as a third country, you will be dealt with like any other third country, no better, no worse.
‘The Eu will not discriminate against the United Kingdom post Brexit. The USA works perfectly well as a third country with the EU so there is no reason why the UK would not” he concluded.
UK government has asked that financial services will be included in a trade agreement with the European Union but politicos in Brussels have said this will not be possible, and the UK will have to deal with clients on the continent using the regimes that currently exist within EU regulations. When asked if the Brexit may actually not proceed, Claudio Costamagna who is the chairman of Italys Cassa Depositi stated that this notion is not even relevant because the “big city players in London are already making their decisions”
He added “London as a finance hub is not dead but is dying”. He didnt think even with a Brexit reversal that it would be possible to undo this damage. Stating “all back office operations are already moving to Ireland and Luxemburg while other front office operations will go to big finance centers. That will be impossible to reverse”. Primarily this is due to the costs and logistics involved.