A group of London's financial lobbyists will head to Brussels for their first meeting with officials and stakeholders since Brexit talks began. 'Mutual access" for financial groups to operate in United Kingdom and European Union marketsThe news came as major Japanese bank, Sumitomo Mitsui Financial Group (SMFG), announced it was to become the latest financial institution to relocate some of its activities from London to Frankfurt because of Brexit fears the United Kingdom will lose the "passporting rights' that now enable the sector to operate freely across Europe.
British banks have a lot to lose in a "hard Brexit", as they would be deprived of so-called passporting rights, which allow financial services to operate freely throughout the EU's single market with standard regulation.
TheCityUK says it regularly hosts delegations in Brussels, and that this one is "not out of the ordinary" but Brexit will be discussed.
According to the Financial Times, the group will be led by former City minister Mark Hoban as banks fear the fallout from Brexit negotiations if access to European Union markets is curtailed. It added, "Banks in particular fear they may have to move thousands of staff to financial centres such as Frankfurt and Dublin".
Six out of 10 Britons, especially the younger generation, do not want to lose their EU citizenship following Brexit, with many prepared to pay large sums to retain rights to live, work, study and travel in the European bloc, a survey led by the London School of Economics showed.More news: Naga Chaitanya New Movie Yuddham Sharanam First Look Poster Released
"If World Trade Organisation rules govern EU-UK trade relations post March 2019, competitiveness and costs would likely be impacted as companies compete on a new global playing field", said Mr O'Loughlin.
The spokesman said the approach outlined in the Lancaster House speech remained the official strategy.
A government source said: "With negotiations under way, the Secretary of State for Exiting the European Union is determined to bolster the Government's engagement with the business community on Brexit".
"There is no doubt that Brexit is a massive issue for the financial industry", he said.