$1 trillion leaves British shores ahead of Brexit D-day

Banks and banking institutions have shifted at least $1 trillion price of assets out of the UK and in to the Eu because of Brexit, EY have claimed in a report published this week.

Many banks have set up new offices in Europe to safeguard their regional operations, meaning they have moved substantial assets over to satisfy EU regulators.

Other firms are moving assets to protect clients against market volatility and sudden changes in regulation.

In total at least lb800 billion ($1 trillion), or 10 per cent of the total assets from the UK banking sector, continues to be moved, based on “conservative estimates”.

Omar Ali, head of financial services at EY, said: “Our numbers only reflect the moves which have been announced publicly.

“We know that behind the scenes firms are continuing to organize for any ‘no deal’ scenario.”

Deutsche Bank, Goldman Sachs and Citi have moved parts of their business out of the Uk with Dublin, Luxembourg, Frankfurt and Paris among the most popular destinations.

More assets are likely to be moved within the coming weeks, with Ali noting that “the closer we get to March 29 without a deal, the more assets will be transferred and headcount hired locally or relocated.”

London continues to be Europe’s undisputed financial capital for decades, and is the place to find the international headquarters of a large number of global banks.

The financial services industry employs 2.2 million people across the country, and contributes 12.5 percent of GDP.

It generates lb72 billion ($100 billion) in tax revenue each year, based on the Town of London Corporation.