The House of Lords EU Sub-Committee on Financial Affairs (the Sub-Committee) has commenced an inquiry into Brexit and financial services in the UK
The Sub-Committee began its inquiry with two evidence sessions focusing on the consequences of the referendum result for financial services and potential future arrangements. The Sub-Committee confirmed the following as the types of questions likely to be put to the witnesses:
- The reaction of financial services firms to the outcome of the EU referendum result.
- The possibility of relocation of financial services firms from the UK.
- Critical priorities for the UK financial services sector in both the withdrawal negotiations and in negotiating a future relationship for the UK with the EU.
- ‘Equivalence’ rights to access the EU Single Market for the UK.
- Financial regulatory cooperation between the UK and the EU under different models of EU membership.
- A potential free trade agreement and the UK’s financial sector.
- Potential transitional arrangements.
- The importance of the financial passport for firms operating in the UK.
- Risks for retail customers and investors.
- Considerations for non-EU firms wishing to gain access to the EU via the EU’s equivalence regime.