Britain’s decision to leave the European Union has imperiled the City’s status as the region’s financial center. So far, the loss of jobs has been more of a dribble than an exodus. But the current hiatus masks a longer-term threat, as firms choosing where to house new positions expand elsewhere.
At the moment, British banking is thriving. U.K. financial-services firms saw three-month business volumes grow at their fastest pace since June 2017 in the final quarter of last year, according to a Confederation of British Industry survey of more than 100 firms released Thursday. Profitability accelerated at its best rate for five years.