A bad Brexit deal for banks threatens cities across the UK

By BLOOMBERG

LONDON • Cities outside London are more exposed to the effects of a bad deal for financial services after Brexit than the UK capital, according to a report published yesterday.

While finance represents a 29% share of London’s total exports, it makes up 56% of those for Edinburgh and 54% for Cardiff, according to the study, carried out by the Centre for Cities think tank and sponsored by the City of London Corp.

Northampton, Leeds, York and Norwich are also heavily reliant on financial-services jobs, it said.

“The government has outlined its plans to take services out of the EU single market,” Andrew Carter, CEO of Centre for Cities, said in a statement.

“It should not underestimate the dama-ging impact that this could have on jobs and wages in cities across the UK.”

A third of Britain’s financial services exports go to the European Union (EU), according to the corporation, compared to 21% to the US, 6% to Japan and 1% to Canada.

“This data makes clear that some of the UK’s major cities rely heavily on financial services,” said Catherine McGuinness, policy chairwoman for the City of London Corp.

“A detrimental Brexit deal for the UK’s financial sector will be felt nationwide — not just in the capital.”