Ahead of a seminar this Thursday (23 May) on the UK in the EU and the EU in the world, TheCityUK has called for the EU debate to focus on evidence and economic analysis of the impact on growth and job creation.
According to new research from TheCityUK, to be discussed at the seminar, the links between financial markets in the UK and the EU are extensive:
- The EU is the biggest single market for UK exports of financial services, generating a trade surplus of Â£16.6bn in 2012, more than a third of the UK’s total surplus in financial services.
- The UK has a leading share of trading in many financial markets in the EU, including interest rate OTC derivatives trading (74% of EU trading), hedge fund assets (85%), and marine insurance premiums (51%).
- Out of the 251 foreign banks in the UK, 79 are from the EU, and EU banks in the UK hold nearly Â£1.4 trillion in assets.
- Average daily euro-denominated foreign exchange turnover in the UK totalled $800bn in October 2012, making up around 40% of all euro denominated forex trading worldwide. There are more euros traded in London than in all European countries combined.
Commenting on the research, Chris Cummings, Chief Executive at TheCityUK, said: “The future of the relationship between the UK and the EU is rapidly becoming an issue for international investors. Now more than ever, it’s the evidence-based argument which needs to be heard. Discussions on the future of the EU need to be based on the facts and focus on the core issues of sustainable growth and job creation. Thursday’s seminar is a chance for politicians and leading business figures from the UK and other European member states to consider the evidence and discuss the future continent we all want to see – dynamic, competitive and stable.”
TheCityUK’s seminar, ‘The UK in the EU and the EU in the world – what future for financial services?’, complements a series of events for the Lord Mayor’s Appeal 2013 and takes place on Thursday 23 May at London’s Guildhall. At the event, the new Italian Ambassador to the UK, Pasquale Terracciano, will give a keynote speech on the importance of the UK to the EU, and Italy's relationship with the EU. Other speakers and panel members include:
Asta SkaiÅ¡girytÃ¨ LiauskienÃ¨, Ambassador of Lithuania in the UK
David Ruffley MP, Treasury Select Committee member
Baroness Kramer, Parliamentary Commission on Banking Standards member
Ludovic de Montille, UK Chairman, BNP Paribas Group
Graham Bishop, European affairs specialist
Chris Cummings, Chief Executive, TheCityUK
John Thornhill, Deputy Editor, Financial Times (Chair)
Commenting ahead of the seminar, Chris Cummings said: “The UK’s long heritage of economic liberalism, free trade and market discipline means we are ideally placed to propose an agenda that promotes sustainable economic growth while also ensuring stability. That includes pressing for the completion of the Single Market, and ensuring that banking union does not lead to its fragmentation. We also need to support the drive towards trade-fuelled growth, including the current negotiations between the EU and US on the proposed Transatlantic Trade and Investment Partnership. The UK benefits from free trade agreements negotiated by the EU, and we want Britain and the EU to remain at the forefront of these deals. But we mustn’t forget that the relationship between the UK and the EU is a mutually beneficial one. The EU benefits from having London, the global financial centre, as its hub and entry point for companies based outside Europe.”