Despite the initial post Brexit fears that bankers would start fleeing the United Kingdom, London has steadfastly remained the planet's financial epicenter. This is the finding of a survey carried out by the GFCI (Global Financial Centres Index) which ranked nearly eight dozen cities around the globe. London beat out Hong Kong, Singapore, and New York to claim the top spot.
In fact, the GFCI survey found that London had actually increased its lead over the world's next most vital financial center according to the survey, New York City. A 24 point drop in NYC's ranking is likely due to Donald Trump's erratic trade policy proposals and overall instability. To be specific, Trump's withdrawal of US participation in the Transatlantic Trade and Investmentment Partnership (TTIP) and his general "America First" posturing has irked many leaders in the European Union.
Possible Change on the Horizon
Although London still appears to be top dog, the warnings of many influential Londoners as to the potential dangers of the UK's non-participation in the European Union and what this may mean for London's dominance in the world of finance cannot be entirely discounted. Many large banks and insurance organizations are planning to relocate staff from London to Paris, Dublin, Frankfurt, and other EU cities. These tectonic shifts were reflected in the survey, as Frankfurt made a huge jump in the rankings—from 23rd to 11th place.
Even more ominous still, talks between UK and EU officials have apparently bogged down as of late. By all reports, the working relationship between Brexit secretary David Davis and his counterpart Michel Barnier of the European Commission is especially contentious.