AFB Brexit Engagements

The AFB is working with Government and policy makers to ensure that the UK foreign banking sector’s views on Brexit are heard and understood by these decision makers

 

2018 Brexit Survey of AFB members

The AFB, in conjunction with Norton Rose Fulbright, has published a report which looks at the impact Brexit may have on the foreign banking sector in the UK. This was based on a survey of AFB members conducted in July and August 2018.

The report focuses on the following areas:

  • Post Brexit replacement of the EU passport

  • Recruitment challenges and the UK’s post Brexit immigration system

  • Changes to operating models

  • Changes to booking models

  • London as a future location for business and international financial centre

  • Engagements with the PRA and ECB

  • Level of business support provided between UK and group entities

  • The cost of banks’ Brexit preparations

The full report is available below:

 

 

Continuous engagement with HM Treasury

The AFB continues to hold regular bilateral engagements with HM Treasury to ensure that the Government and the AFB continue to work together to ensure that the foreign banking sector’s views on Brexit are understood by policy makers through discussions, roundtables and publications. 

These discussions take place at both a political level with Ministers, as well as with policy specialists from HM Treasury through the AFB’s three Brexit Working Groups, which provide the Government with a sounding board as the UK develops its post-Brexit policies for the UK’s banking sector:

  • Market Access

  • Euro Derivatives Clearing

  • Immigration: Access to Talent

 

Late 2017 Brexit Survey of AFB members

Following a survey of AFB members conducted during the Summer and Autumn of 2017, the AFB, in conjunction with Norton Rose Fulbright, has published a report on the impact of Brexit on the foreign banking sector in the UK.

The report focuses on the following areas:

  • The UK’s post-Brexit relationship with the EU – in particular, the replacement of the EU passport

  • Impact of any subsidiarisation requirement on branches of foreign banks

  • The location of euro-denominated clearing

  • Current and future business activities following the ‘Leave’ vote

  • The immigration impact on staff

  • Future of London as an international financial centre and other centres around the world

The full report is available below: 

 

 

Meetings with Department for Exiting the European Union & HM Treasury

The AFB, with a number of its banking member CEOs, has met with Ministers from DExEU and HM Treasury to discuss their views on Brexit and the actions their banks are taking, and looking to take, as the negotiations develop.

Though a variety of issues were discussed, the main areas of focus were:

  • How foreign banks in the UK will maintain their current level of EU related business activities in the UK post-Brexit

  • Concerns around any potential requirements for UK branches to subsidiarise

  • The residency rights of EU nationals currently in the UK and future access to talent when the Government establishes and then operates the UK’s post-Brexit immigration system

  • The ability of London to maintain its position as a leading international financial centre post-Brexit

  • The type, and length of time, of a transition period as the UK migrates to its post-Brexit relationship with the EU

 

 

Evidence to the House of Lords EU Financial Affairs Sub-Committee following AFB Survey

In late autumn 2016, the AFB provided written evidence to the House of Lords EU Financial Affairs Sub-Committee, with whom the AFB had been liaising regarding the potential impact of Brexit on the foreign banking sector in the UK.

The submission provided a breakdown of the key concerns from the various types of AFB members following a survey conducted of the wider membership in summer 2016, shortly after the Referendum vote. Many of the issues raised in the survey, most of which are detailed in the submission of evidence, have provided the basis for the AFB’s discussions with the Government and Regulators about the sector’s key concerns on Brexit.

The AFB’s evidence to the Sub-Committee  is available on Parliament’s website.