Re: EU "Stop BrExit" Next Phase
Originally Posted by
swimfeeders
->
Hi
I acknowledge the UK World Trade Deficit.
We are no longer manufacturers, we are a Service based economy and 40% of our Service Exports are to the EU.
The huge foreign banks here are already moving trading bases to the EU.
There will be minimal job losses, but the trades will be done in the EU, causing a huge loss of Tax here in the UK.
Why else did Von der Leyen say that the deal on services has lower priority than a deal on trade?
Answer:
The UK-based financial services firms are waiting to hear if they will be able to serve clients in the EU 27, and if so, on what basis. Currently, the UK-based financial services firms rely on the so-called passporting rights. According to The Economist, 5,476 financial services firms based in Britain used 336,421 European passports to sell their products in the EU in 2016. By comparison, approximately 8,000 financial services firms based in the EEA used 23,535 European passports to sell their products in the UK. This proves that the removal of passporting rights as well as uncertainty over what will replace them amount to an existential threat.
Quote from ft:
The emergency contingency measures are needed as EU regulations ban European companies from using non-EU clearing houses unless they have been judged by Brussels as being properly regulated and supervised.
https://www.ft.com/content/40bf76ae-...f-cc63de1d73f4