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> going for low tax low regs. The problem with this strategy is that the major trading blocks of USA, EU and China will not allow the UK to undercut them. So i
by de_keyboard 4y ago
> going for low tax low regs.
The problem with this strategy is that the major trading blocks of USA, EU and China will not allow the UK to undercut them. So if the UK goes down this path, then companies based there will find themselves cut off. The UK domestic market is not large enough on its own.
- mytailorisrich 4y agoConsidering that the US is much lower regs than the UK and has domestic tax havens, and that I doubt this is a problem for China, I think you exaggerate. It's the EU that is worried of being undercut and that's why they are trying to tie market access to EU rules.
- de_keyboard 4y agoThe US would not allow their financial sector to migrate from NY to London. China is even more controlling than the US. London used to be the center of finance in Europe and now the EU sees an opportunity to grab that revenue / power. Where does this leave London? And the UK as a whole is heavily dependent on London.
- mytailorisrich 4y agoThe UK is a major global financial centre and globally competitive. What it has lost, which is not that much, is due to EU regulations which mandate that some activities have to be in the EU. China is not relevant. You're not making a convincing point, IMHO.
- guitarbill 4y agoIs the UK really "a major global financial centre", or is it just London?
- blibble 4y ago> London used to be the center of finance in Europe I think you'll find it still is, by quite a long way > now the EU sees an opportunity to grab that revenue / power. the EU hasn't even managed to pry Euro clearing out of London (despite trying extremely hard)
- de_keyboard 4y agoThis is scheduled to leave in 2025.
- blibble 4y agoyes, after being pushed back at least 5 times and it'll be pushed back again