Financial services companies have committed to move about £1tn of assets out of the UK into Europe as the industry triggers its worst-case contingency plans with no Brexit deal in sight, according to consultancy EY.
The estimate by EY – which mainly covers client assets and cash moved out of the UK by banks and fund managers as well as the transfer of balance sheets as operations are relocated – has increased by £200bn since the last survey in January.
Banks and investors are now being forced to finalise plans only days from the Brexit deadline, with London’s future trading relationship with the EU still in question after Theresa May failed for a second time to secure parliamentary approval for her deal last week.
