Brexit information: EU banks worry Brussels will block monetary entry for London | Metropolis & Economic system | finance

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She explained: “We want to be able to maintain choice, so wherever the Commission lands on it we want to make sure we still have access to CCPs and I’m sure the supply will continue to improve and.” broaden, but we also want to be able to access London for clearing purposes.”

The EU is particularly concerned about what Ms McGuinness has described as “over-reliance” on London, with the long-term goal of building clearing capacity in financial centers like Paris and Frankfurt.

Ms Yavari said: “We understand that there is some systemic risk with the level of clearing that is currently being conducted with UK CCPs. To the extent that the EU would like some reduction of this amount, we can understand that, but we think this needs to happen organically and not as a result of any regulation banning UK CCPs from access.”

The tough 2025 deadline has also created confusion in the UK, with Bank of England Governor Andrew Bailey saying no deadline is needed and warning Brussels against “fragmenting the international system”.

Despite EU efforts, banks have so far proven reluctant to change their clearing habits, leading to growing frustration for Ms McGuinness, who has warned: “It won’t happen organically, which is why we need to intervene.”