The Brexit talks with the European Union prioritized fish and neglected finances, said the head of politics at the City of London Corporation.
Catherine McGuinness told CityAM that she wanted the sector to “be more of a focus”.
Your comments come as the Treasury Department opens talks with the European Commission this week on the Financial Services Framework.
In an appendix to the free trade agreement published on December 24, 2020, the two sides agreed to draft a memorandum of understanding on this subject by March of this year.
One of the main open questions is ‘equivalence’ – the EU regulator’s process of granting market access to UK companies when the county’s financial rules are considered similar to their own. Experts have told Financial News that the city could wait “years” for a meaningful deal for its sector.
According to the annex, the rules will allow for a dialogue on the adoption, suspension and withdrawal of equivalency decisions, analysis of regulatory initiatives and increased cooperation and coordination between the two parties.
“In the last few months in particular, we have felt that fish and other parts of the economy that are really tiny by comparison have attracted a lot more imagination than this really large part of the economy,” McGuinness said on the Jan. 13 article.
READTraders admit their “questionable” Brexit workarounds
“We have to take our fate into our own hands, we have to find the best way forward and what I would say to the rest of the world is not to underestimate the UK,” she added.
McGuiness’ comments are consistent with those of others. Former Prime Minister Theresa May said the government failed to reach a Brexit deal that adequately represented financial services.
“In 2018 I said at the Mansion House that we wanted to work on finalizing a financial services contract for the future contractual arrangement and that it was really groundbreaking. It would have been – but unfortunately this was not achieved, ”she said on December 30th in the House of Commons.
“We have a trade deal that benefits the EU, but not an agreement on services that would benefit the UK. The Memorandum of Understanding makes it clear that future negotiations on these points are possible and I hope that the government will start these negotiations swiftly and forcefully, particularly as regards financial services. “
Prime Minister Boris Johnson admitted on December 24 that the financial services deal “may not go as far as we’d like”.
READ The city is facing years of Brexit limbo in terms of equivalence: “Liquidity has already shifted.”
To contact the author of this story with feedback or news, send an email to Bérengère Sim