- Chancellor of the Exchequer is expected to sign a
Memorandum of Understanding on financial services which sets
out plans for UK/EU cooperation
- Comes as the Chancellor is in Brussels for the first time in
post on Tuesday 27 June
- Chancellor Hunt will discuss UK/EU cooperation with his
counterparts at the European Commission
, Chancellor of the Exchequer,
will sign an agreement on financial services cooperation with
Commissioner Mairead McGuinness, which will help to establish a
constructive, mutually beneficial relationship between the UK and
the EU in financial services.
This comes as the Chancellor is in Brussels for a series of
meetings with European Commissioners, in the first visit from a
UK Chancellor in over three years.
Commissioner McGuinness is the European Commissioner for
financial services, financial stability and capital markets
union.
The Memorandum of Understanding signifies an important step in
UK/EU relations post-Brexit. The UK is a leading global hub of
financial services – of the £11 trillion of assets managed in the
UK in 2020, around 44 per cent is on behalf of international
investors including the EU.
The agreement will establish an ongoing forum for the UK and the
EU to discuss voluntary regulatory cooperation on financial
services issues. Both sides will share information, work together
towards meeting joint challenges and coordinate positions where
appropriate on issues ahead of G7, G20 and other international
meetings.
The UK and the EU committed to the Memorandum of Understanding
alongside the Trade and Cooperation Agreement. It adds to the
growing number of regulatory cooperation arrangements the UK
already has with major financial sector partners including the
U.S., Japan and Singapore.
, Chancellor of the Exchequer,
said:
"The UK and EU’s financial markets are deeply interconnected and
building a constructive, voluntary relationship is of mutual
benefit to us both.
"In the UK, our financial services sector is a true British
success story. Together with the related professional services
sector it was worth £275bn last year, making up an estimated 12
per cent of the British economy.
"This agreement with our European partners as sovereign
equals builds on our arrangements with the U.S., Japan and
Singapore, helping to support the sector's role as a global
financial services hub."
While the Chancellor is in Brussels he will also be meeting with
Valdis Dombrovskis (European Commission Executive Vice-President
responsible for an Economy that Works for People, also in charge
of Trade) and (European Commission
Executive Vice-President for ‘A Europe Fit for the Digital Age
and Competition). He will discuss the UK’s competitiveness and
growth, the EU’s Green Deal Industrial Plan and economic
security.
