UK Finance has warned against increased costs for both consumers and companies as countries compete for bases for UK insurers. Fragmenting markets could bump up costs significantly for consumers and companies on the continent.
UK Finance CEO Stephen Jones, “We detect some degree of political will in certain parts of continental Europe to reclaim what they perceive to be 20 years loss of wholesale financial services to the London market.”
A House of Lords select committee heard about the potential impact of Brexit on financial services. An attempt by EU countries to attract finance companies away from London would result in a fragmented market.
Mark Hoban of the International Regulatory Strategy Group warns that there should not be a bonfire of regulations post-Brexit as it would be to the detriment of that stability and certainty.