Quote:
Originally Posted by 1andrew1
EU countries enticing companies to relocate from the UK
Japanese companies in UK 'already receiving offers from EU'
"Japanese companies based in Britain have already started to receive offers from other European countries and could postpone investment decisions if the government fails to negotiate a close economic relationship with the EU.
That was the stark warning of Haruki Hayashi, president of the Japanese chambers of commerce in Britain and the European CEO of Mitsubishi [makers of Princes canned fish, Branston baked beans and Batchelor's soup] who said businesses needed more than “general reassurances” if his country’s investment presence in Britain was to be maintained."
https://www.theguardian.com/politics...ness-secretary
France 'to appoint Brexit team to lure British banks away from UK after EU withdrawal'
"France will set up a special task force of corporate leaders and politicians aimed at luring businesses and talents from London as the UK prepares to leave the EU.
The news comes after Paris’ financial district has unveiled an advertising campaign aimed to underscore the attractiveness of the French capital for business in the wake of the Leave vote with the slogan: “Tired of the fog? Try the frogs. Choose Paris La Defense”.
http://www.independent.co.uk/news/bu...-a7388881.html
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Bluff and double bluff. The EU has plenty of history of wanting to curtail and tax the banks and that's the reason there won't be any wholesale movement of banking into the EU.
The French are making noises in order to influence our negotiating position and if they weren't we'd all be greatly surprised. They're going to make all sorts of gestures to try to undermine what our govt. is trying to negotiate on our behalf. The banks will be playing that game too just as they have done in the past in order to influence government regulation here. It's laughable really - it wasn't that long ago that an awful lot of people were saying let the banks sod off given the massive mess they created. Now we're once again being scared into thinking that they'll do it. They won't leave in droves because the EU will always be a less profitable and more highly regulated market for them to operate in. That's what the EU is at it's core - more regulated, more bureaucratic and more expensive to operate within.
I think we all need to remember that there are huge banking problems in store within the EU and when they come to the fore again everyone will be banging on about how toxic all these banks are. At that point the French will no doubt start going on about more stringent controls/taxes and how it's bankers who caused all the world's ills as opposed to politicians who created the flawed regulatory framework they exploited and cooked the books to allow Greece into their silly club. I dare say Hollande (if he lasts that long) will then claim they'll be seeking compensation from us for the role the City of London played back in the lead up to 2008. Maybe we'll even be timid enough to pay them off rather than telling them where to go... Alternatively May could organise some overtures to all those French companies suffering badly right now, reminding them that life's a lot cheaper and simpler in the UK.
This is negotiating at it's very best and it's going to continue for some time so we can expect companies as well as countries to try to exploit the situation to secure price rises etc. for the very same reason. The UK needs to remain strong and not be panicked into anything which ends up with us snatching defeat from the jaws of victory.