Brexit: Dublin top move: EY Brexit Tracker
London
March 15, 2021
British Accounting Office: Ernst & Young (EY)
On March 2, the results of a survey on “the transfer of functions of the financial services industry outside the UK due to Brexit in the UK” were announced.
Financial Services Provider Relocation Survey:
The survey was conducted as of the end of February.
About 43% of the UK financial industry (95 out of 222) have relocated their businesses and employees to the EU.
Since 2016 Brexit
Since the referendum, about 7,600 employees in the same industry have been leaked.
The number increased by 100 from the end of September 2020 (about 7,500) in the previous survey.
In addition, an estimated 1.3 trillion pounds (198 trillion yen) of assets have flowed out.
This is an increase of £ 100 billion from the previous survey.
In addition, about a quarter of the surveyed companies (57 of 222) were financially adversely affected.
It was worse than as of January 2020 (22%).
Relocation from the UK: (See Figure 1 in Attachment)
The most popular city is Dublin.
36 companies are considering or have decided to relocate.
29 companies in Luxembourg,
23 Frankfurt companies,
Followed by 20 companies in Paris.
Land subsidence throughout Europe: (See Attachment Figure 2)
EY’s Omar Ali:
About the current situation in the UK and EU
“Post-Brexit functional diversification will accelerate the decline in the presence of the entire European financial sector,” he said.
European financial transaction share:
It is already on a downward trend.
New Financial research report published in October 2020.
EU
In 2006, it accounted for 20%.
In 2018, it decreased to 13%.
It is expected to drop to 10% in 2040.
Asian financial transaction share:
Looking at the Asia-Pacific region,
In 2006, it was 18%.
It increased to 28% in 2018, overtaking the EU.
It will account for 54% in 2040 and will be the largest in the world.
By item such as the amount of stocks and corporate bonds issued, the share of both the UK and the EU declined.
Europe’s influence on world finance is inevitably declining.
-JETRO
https://www.jetro.go.jp/biznews/2021/03/afdee7cb3ffdc505.html
EY Financial Services Brexit Tracker:
Financial Services Firms continue moving staff ahead of Brexit deadline, with total jobs relocating from London to Europe now over 7,500 In the final weeks of the last quarter, over 400 UK financial services job relocations to Europe were announced,
taking the total number of jobs leaving the country since the EU referendum to over 7,500 Firms have added or are in the process of hiring a total of over 2,800 new roles in Europe since the Referendum –
an increase of over 400 since January 2020 Since the EU Referendum, 24* Financial Services Firms have publicly declared that they will transfer assets out of the UK to the EU;
not all have declared a value, but the EY Financial Services Brexit Tracker has recorded public pronouncements worth over £1.2 trillion
EY UK