Stock exchange director predicts Brexit victory for Macron
Brussels is set to extend Britain’s right to control the € 660 trillion (£ 563 trillion) euro clearing market early next year as part of ‘a major post-Brexit boost for the City, said the boss of the London Stock Exchange.
David Schwimmer said he expected the EU to allow its banks to continue clearing transactions through London, with an announcement from the European Commission in the coming months.
A Brussels source declined to confirm any timetable, but said the situation was being assessed, adding: “Financial stability is of paramount importance to us”.
An extension would be a blow to French President Emmanuel Macron, who has tried to drive bankers away from London in a bid to strengthen Paris.
Ahead of the 2016 Brexit referendum, finance chiefs warned the land clearing would be lost along with 232,000 jobs in the city. However, a massive exodus of finance jobs out of London did not materialize.
In an interview with Bloomberg TV, Mr Schwimmer said: ‘I expect the European Commission to find a way to continue to allow EU-domiciled member banks and other institutions to continue to access [London clearing houses].
“It is clearly recognized that this is a service of crucial importance for the European institutions that use it, so it would be a shame if they were cut off from it. We will continue to engage with the various stakeholders. I think we’ll see something probably at the start of the new year.