Hammond Says EU Will Hurt Itself by Attacking City of London
- Chancellor says European companies use London to raise funds
- Removing clearing will raise costs, benefit U.S., Hammond Says
Will the City of London Survive Brexit?
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U.K. Chancellor of the Exchequer Philip Hammond warned European governments they will end up hurting their own economies if they use Brexit negotiations to shrink London’s financial might.
EU countries have much to lose if they seek to restrain the City of London given many of their companies use its markets to raise capital, Hammond told a committee in the House of Lords on Thursday. He also said any effort to shift clearing operations away from the U.K. capital could benefit New York more than Europe.