Belgium is plotting to poach banks and businesses
Belgium is planning to set up an English-speaking commercial court to encourage companies to uproot from the UK.
A court would give companies a place to sort legislative disputes if Brussels were to become an international economic centre.
Belgian Prime Minister Charles Michel said: “The development of the European Union cannot be stopped by Brexit.
”Mr Michel has said the new court would make Belgium much more attractive to business and points out that Brexit is likely to increase the number of commercial disputes.”
He added: “Brexit means it will not be so easy to take them to a London court.
”Several European capital cities are vying for London based companies to relocate their headquarters to them.HSBC and JP Morgan are among those reported to be looking at a new base in Europe.”
Companies are increasingly worried about what happens once the UK leaves the bloc as no regulations have been proposed for after March 2019.
However, another banking boss, Goldman Sachs chief executive Lloyd Blankfein, is more positive about the UK.
Charles Michel said Brexit can’t stop EU development
Yesterday he tweeted that the company is still building a new European headquarters in the capital and they are going to “fill it up”. But added that “so much” is out of his control.
HSBC boss Iain Mackay said yesterday around 1,000 jobs would be relocated from London because of Brexit.
CEO Stuart Gulliver said HSBC could spend up to £230 million moving jobs and parts of its business to Paris.JP Morgan has said they are likely to base their headquarters in Frankfurt.
The US bank has also purchased building in Dublin with room for 1,000 staff.Barclays has signed a lease agreement for more office space in Dublin as it prepares to expand its operations there to cope with the impact of Brexit.
Top official at the Bank of England, Sam Woods said that a Brexit transition deal was needed by Christmas to prevent City firms from moving out of the UK.He said an implementation period was the most important requirement for banks.
At a speech at the beginning of October he said: “If we get to Christmas and the negotiations have not reached any agreement on this topic, diminishing marginal returns will kick in.
“Firms would start discounting the likelihood of a transition in the central case of their planning.”