Chancellor Zahawi on US trip to bang the drum for London finance

Chancellor Nadhim Zahawi will embark on a US trip this week in an try to bang the drum for Britain’s post-Brexit monetary future.

Zahawi will go to the New York Stock Exchange and meet with senior international financial institution representatives with “the aim of setting the highest possible standard for global financial services co-operation between the two nations.”

He can even speak up potential reforms in the UK’s Financial Services and Markets Bill – reforms that some in the City say do not go far enough – as a part of his US trip.

The Chair of the London Stock Exchange has warned that the capital is “in a foot race with our competitors and we cannot afford to be ignorant of that or complacent about what we need to do if we want to stay relevant,” in accordance to a submission to the Financial Conduct Authority seen by the Telegraph. 

Michael Findlay was writing to the watchdog as a part of a main markets evaluation which goals to set the framework for the UK’s capital-raising markets.

Findlay stated that the UK has a “once in a generation opportunity to implement radical reforms” on account of the nation’s departure from the EU, however that failing to achieve this would go away London with a “material risk of diminishing to that of a regional exchange.”

There are already considerations that the UK has ceased to be a constructive market for capital listings, with quite a lot of current floats failing to ship. UK equities are additionally comparatively underpriced in contrast to international rivals, main to a current feeding frenzy of overseas companies wanting to take UK-listed outfits non-public.

Nadhim Zahawi can even go to Washington DC the place he’ll meet with officers from the Fed and the US Treasury.