London-The UK’s financial and professional services lobby stated in a blueprint that the UK needs to reduce taxes on banks and make it easier to recruit employees from abroad to help London replace New York as the world’s top international financial center within five years. .
The strategy document released by TheCityUK on Tuesday reiterated some of the ideas that have been broadcast in government-supported reports and other places in recent months, as the City of London hopes to regain the ground that the UK has lost since its withdrawal from the European Union.
“From some indicators, the UK is losing ground: London is currently lagging further behind New York every year, while other centers are strengthening,” the paper said.
It stated that the financial capital of the United States surpassed London in a leading annual survey in 2018, adding that New York dominates stock market listings.
“Therefore, the UK needs to relentlessly focus on strengthening its international competitiveness in order to win back the award for becoming the world’s leading international financial center,” the TheCityUK lobby group, which promotes the wider financial industry abroad, added in its paper.
Britain’s exit from the European Union has effectively isolated London from its largest financial services client, adding further pressure to catch up.
The Ministry of Finance has embarked on reforms to make London’s capital market more competitive. TheCityUK has set a five-year goal for London to “surpass competitors” by modifying taxes, visas and other rules.
TheCityUK stated that becoming a global hub for financial data, sustainable investment, and investment and risk management is also critical to helping the UK surpass New York.
It added that the total tax rate of the Bank of London is 46.5%, which is 13% higher than that of the Bank of New York.
However, persuading the government to cut financial taxes while closing the economic loopholes caused by COVID-19 can be challenging, as the Brexit referendum promises to crack down on high levels of international liquidity, so it is the same with opening the door to recruitment.
Miles Celic, CEO of TheCityUK, said that one of the most important issues for financial companies is being able to recruit globally.
“In our dialogue with the government, I think this is completely understandable,” he told reporters.
Author: Hugh Jones
This News Originally From – The Epoch Times