London—Britain on Tuesday outlined plans for new financial regulation laws following its departure from the European Union, with the aim of securing long-term UK economic growth and international competitiveness.
The country finalized its divorce from the European Union late last year, but a Brexit trade deal omitted the powerhouse financial services sector and has hampered its access to the continent.
The UK’s key financial sector known as the City and based in the heart of London is already facing fierce competition from Amsterdam, Frankfurt, New York and Singapore.
“Reflecting the importance of the sector as an engine for growth, the government will set UK regulators an objective to facilitate the long-term growth and international competitiveness of the UK economy,” a statement from Britain’s Treasury said Tuesday.
UK regulators will be handed powers to set their own rules, it added.
Finance minister Rishi Sunak said the “proposals will support the future strength of the UK as a global financial center.”
This, he added, would ensure “an agile and dynamic approach to regulation that supports the growth of the UK economy, without diverging from our continued commitment to high international standards.”
The Treasury said its proposals would allow for the “repealing of the majority of retained EU financial services law that is no longer appropriate for the UK.”
In its recent budget, the government cut taxes on Britain-based banks, meeting a demand of financial sector’s lobby group.
TheCityUK also wants the government to make it easier to hire foreign finance staff after the finance sector lost thousands of jobs to Europe in the wake of Brexit.
