US banks want a longer transition period than 2 years
Buzzfeed News has heard that US banks want the financial industry shielded for a longer period than the 2 years under article 50. Bank Execs have spoken to the European Commission to say they will need longer to prepare and transition no matter what new arrangements are made with the UK.
They would like to keep full access to the single market as well as current regulation for several years.
A senior EU source told Buzzfeed that UK officials said banks wanted a 5 year transition period. Sources also said that banks will ramp up lobbying of both the EU and UK into a full campaign, which will highlight uncertainty over jobs and investments if their demands are not met.
Recently we've heard all about banks and their views on relocating and the possibility of job losses but that's all surface noise. This story highlights that deeper down the banks want greater certainty over what may come from Brexit negotiations, and are prepared to threaten to get it. In the wider picture, this is potentially positive news as it makes it more likely that banks will be looking to stay in London, if they get the right conditions from Brexit negotiations.
For all the back and forth between the UK and EU politicians, one thing they are all concerned about is the potential financial fallout from Brexit, as that's where the biggest stability risks lie. The banks themselves are going play a very big part in how that turns out.
I can't see that this
