Brexit: City lobby group abandons fight for passporting

Parliament-UK-London-Bus-Transport-700x450.jpg

Financial services lobby group TheCityUK has abandoned its fight for passporting arguing instead that it wants equivalence from the UK’s Brexit negotiations.

Previously it had been seeking to remain part of the single market or at least retain passporting for financial services, but the Government has been clear that securing control of borders will be its priority in negotiations with the European Union, the Financial Times reports.

Equivalence allows companies with the required regulatory standards to trade across borders, but it can be withdrawn at a month’s notice and does not include all aspects of financial services, with primary insurance and parts of commercial banking not yet covered.

TheCityUK has also argued the UK should fight for euro clearing, access to skilled labour and a lengthy transition period.