For months, I've been watching the BREXIT business unfold, and now it's a fascinating thing to watch dealings between the EU and the UK occur.
One of the major topics has been the suggestion by various folks (mostly Germans) that banks in London will need to pack and leave....so the suggestion by the Germans has been that they might relocate into Frankfurt. For a long time.....I believed the idea. This week, I've come to step away from that.
It's an factor about banks. They hate regulation.
Regulation means a threat of court action and fines.....if you screw up.
So you have to ask yourself.....the king of regulations at present is the EU. What bank would really enjoy moving into Frankfurt and place itself to be heavily regulated over the next decade?
Yeah, I came to this realization. Maybe there is an effort to review options, know the cost of moving into Frankfurt, and ask how employees feel about this. But when you get down to the idea of moving into a place where hefty and additional regulations will more than likely occur.....well....what idiot would do that?
So, I'm of the mind that most all of the banks in London.....will remain there. They might find a hundred employees and move a small group into Frankfurt, just to have some EU representation....but I doubt if anything now moves.
1 comment:
I suspect that the Schengen Treaty that governs a lot of the travel between European countries will be viewed in a different way by the Brits. You may find that an American will have a fairly easy time in entering the UK, and staying longer than the 90-day rule that exists now. A lot of this rumored regulation business...comes strictly from the EU side and makes one wonder if they will create a bigger mess for non-EU people to enter or travel.
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