German bankers urge politicians to lure London business to Frankfurt
(17 August 2016 – Germany) Germany’s commercial banking association has urged the government to step up its support for Frankfurt, the country’s finance hub, as it battles with Paris and other financial centres to win business from London after the UK’s vote to leave the European Union.
Although the details and timing of the UK’s exit are not yet certain, French politicians and business leaders were aggressively marketing Paris as the best alternative to London even before the 23 June decision, promising to “roll out the red carpet” for bankers relocating from London.
The head of the Association of German Banks, Michael Kemmer, said German politician needed to be more proactive, in pursuit of UK businesses.
“There needs to be a clear political commitment to Frankfurt as a financial centre. This needs to come from the federal government, from the state of Hessen, from the city of Frankfurt,” Klemmer said.
“I’m not saying German politicians are against this. I’m saying that in my opinion this political commitment could be a bit louder … they need to market the financial centre more aggressively. The French and Paris are being far more active.”
The city currently boasts 66 foreign banks, and is home to key European financial institutions, including the European Central Bank and the European Insurance and Occupational Pensions Authority, which regulates the continent’s insurance industry.
Kemmer added that German politicians should seek to host the European Banking Authority, which is currently based out of London but being eyed by countries ranging from Spain to Poland, to be moved to Frankfurt as well.