LONDON- Over a thousand banks, payments companies, asset managers and insurers in the EU plan to open offices in post-Brexit Britain to continue serving their clients in the UK, according to regulatory consultancy Bovill.
The new offices and the staff will aid mitigate the business loss expected in the Brexit transition period which comes to an end in December.
The companies will, first and foremost, who thus far have only served UK customers from their home base, applied for temporary permission to operate in Britain even post the country’s exit from the bloc.
Over 300 financial firms have infiltrated EU hubs for continuous service of clients post Brexit.
After December, the extent of access to the other market is entirely dependent on negotiations between Britain and the EU. However, the best-case scenario, too, seems unlikely to cover the full range of financial services.
228 Irish firms applied for temporary permission to continue to serve UK clients until a full authorisation for a new UK hub is obtained.
Dublin is another popular UK-based insurer and asset manager location which needs an EU hub.
French, Cypriot and German firms applied for 170, 165 and 149 temporary permissions respectively.
From a practical perspective, the figures indicate that European firms will purchase office spaces, hiring staff and professional and legal advisers in the UK.
(Photos syndicated via Reuters)
This story has been edited by BH staff and is published from a syndicated field.