EU passporting rules are “not negotiable” and the process of negotiating a new structure for the UK will not be easy, says an ally of German Chancellor Angela Merkel.
German lawmaker Michael Fuchs told Bloomberg News that the EU will not bend on its rules when the UK is negotiating its exit from the bloc.
He warned that the process for arranging access for UK banks into the single market once Brexit has occurred will be “very difficult”. He added that passporting rules are “not negotiable”.
“If you’re member of a club you have certain benefits, but if you’re out, you will not have the benefits any more. It’s not going to be an easy game,” he says.
London mayor Sadiq Khan has already vowed to fight to retain access to the European single market and retain passporting. He said the loss of passporting would be “a disaster” and was worth up to £10bn for the City of London.