Financial Services: EU Internal Trade

(asked on 7th September 2016) - View Source

Question to the HM Treasury:

To ask Mr Chancellor of the Exchequer, if he will estimate the revenue that UK banks and financial institutions receive through passporting rights within the EU since 2000.


Answered by
David Gauke Portrait
David Gauke
This question was answered on 12th September 2016

Over 5,000 UK firms, including banks, investment firms and insurance companies, hold passports which enable them to provide their financial services and establish branches in other EU Member States. Excluding banks more than three-quarters of all of the firms in the EU that use passporting under the Markets in Financial Instruments Directive are based in the UK. However, passporting rights are conferred under several different pieces of EU legislation.

Supervisory authorities record passport notifications, including into which Member State the passport is being used, but there is no detailed record of the type or scale of their use. The Treasury is engaging with business to further understand the issues affecting the financial services industry as the UK prepares for negotiations to leave the EU, including how firms make use of the different passports available to them.

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