UK PM Tries to Reduce Bank’s Brexit Anxiety

British Prime Minister Theresa May is trying to ease bankers’ concerns after she torpedoed one of their biggest demands for Brexit during a speech on the country’s future relationship with the European Union.

The prime minister, in a BBC interview broadcast Sunday, said both sides must recognize the “very important role” that Britain’s financial services industry plays for the EU and the U.K.

That came two days after May rejected calls for a “passporting” agreement, which would let bankers and other professionals work in the EU with their UK qualifications — and vice versa. Such an arrangement would force Britain to accept rules made elsewhere, and that is unacceptable, she said.

“What we are looking at … is a new relationship on financial services based on this concept of mutual recognition,” May said. “Given the sums of money involved, given the importance of financial stability, given the risk that, actually, the UK bears … it’s important that we do that on the basis of recognized regulatory standards. But we can’t just accept rules made elsewhere without us having a say in them.”

via Mainichi

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza