ECB and BoE – preparations for Brexit need to improve – 3rd July 2017
The European Central Bank and Bank of England warned on Friday that the Brexit plans of some banks are not good enough as they scrutinise their strategies to limit risks from an abrupt cutting in cross-border financial links. Britain leaves the European Union at the end of March 2019, forcing banks to restructure in some cases so they can be sure of continuing to serve cross border customers to and from London. “As you know, we asked the banks we directly supervise to share their Brexit strategies with us. Having analysed these strategies, I think it is fair to say that most banks are not where they should be,” Daniele Nouy told a Brexit workshop in Frankfurt on Friday. The BoE meanwhile, has given domestic and foreign banks in Britain a July 14 deadline to spell out how they would cope if there is no trading deal with Europe after the UK leaves the EU.
Huw Jones, Reuters