“Much to the chagrin of Bremainers, Brexit negotiations forge ahead as the United Kingdom and European Union enter the highly anticipated second phase of negotiations related to trade and the transition period. Even though some of the most prominent Brexiteers, like former UKIP leader Nigel Farage, have railed against the current status quo, the gaps between the two negotiating parties have narrowed enough for progress to be made on the key points that will really impact UK firms and European businesses operating in the UK.”
“Britain is expected to choose a new central bank chief this year to succeed Canadian Mark Carney, who will step down in June 2019, three months after the country’s scheduled exit from the European Union.
Following is a summary of possible contenders to run the Bank of England (BoE), which oversees the world’s sixth-biggest economy and Britain’s huge finance industry. No one has yet thrown their hat into the ring.”
“After months of contentious and often fruitless discussions, Great Britain and the European Union announced a breakthrough Friday morning that includes provisions to protect the post-Brexit residency of three million E.U. citizens in the U.K. and more than one million Britons living in E.U. member nations.
In addition, the agreement includes a resolution of the border between northern Ireland and the Republic of Ireland, an issue that was made more complicated by demands of the Democratic Unionist Party currently ruling in a tenuous coalition with Prime Minister Theresa May’s Conservative Party.
Standing side by side, European Commission President Jean-Claude Juncker and May – who arrived in Brussels at 6 a.m. for a joint press conference – announced that for the first time, major hurdles had been overcome that will allow progress on other key issues, particularly trade.”
“A group of influential German business figures have launched a campaign to keep the UK in the European Union. The alliance, dubbed a New Deal for Britain, includes three ex-presidents of the Federation of German Industry. One of the three, Heinrich Weiss, said: “With Britain, the EU is losing its most important ally in the fight for competitiveness.” They will lobby European governments to offer more concessions to the UK, in particular on immigration.
‘Battle for Britain’
The Federation of German Industry (BDI) is the German equivalent of UK business lobby group the CBI. The other leading ex-BDI figures are Michael Rogowski and Hans-Olaf Henkel, who is now an MEP. “We want to launch a Battle for Britain with this initiative, we need a new offer from the EU, this call is addressed to Brussels and also to Berlin,” said Mr Henkel.”
“European regulators have warned banks working on post-Brexit plans that they will “need to have substance locally” to serve European clients.
The European Central Bank said some of the proposals it has reviewed are inadequate and risk creating “empty shells”.
Many banks currently gain access to the European market through UK offices.
They have said they are working on contingency plans, adding space in cities such as Frankfurt and Dublin.
The Bank of England has said it is braced for the potential loss of 75,000 finance jobs following Britain’s departure from the European Union.
But with details of the split unclear, some banks have held out hope that the break would not be so disruptive.”
” The Bank of England believes that up to 75,000 jobs could be lost in financial services following Britain’s departure from the European Union.
I understand senior figures at the Bank are using the number as a “reasonable scenario”, particularly if there is no specific UK-EU financial services deal.
The number could change depending on the UK’s post-Brexit trading relationship with the EU.
But the bank still expects substantial job losses.
Many jobs will move to the continent.
The Bank of England has asked banks and other financial institutions, such as hedge funds, to provide it with contingency plans in the event of Britain trading with the EU under World Trade Organisation rules – what some have described as a “hard Brexit”. ”
” Brexit negotiations with the EU are heading for a “no deal” scenario, Labour’s Emily Thornberry has warned.
Shadow foreign secretary Ms Thornberry said the PM’s failure to control her party was causing “intransigence” on the UK side, which was a “serious threat to Britain” and its interests.
But International Trade Secretary Liam Fox said a failure to agree a deal was “not exactly a nightmare scenario”.
The UK was preparing “mitigation” measures for such an outcome, he said. ”