Saudi Press

Saudi Arabia and the world
Friday, Aug 22, 2025

Brexit triumph: London to become 'business centre of Europe' in blow to Brussels

Brexit triumph: London to become 'business centre of Europe' in blow to Brussels

THE European Union has been told to be "very well aware" Brexit could transform London into the most important business centre across the continent. "The big risk that I see is that if that happens the new Great Britain will concentrate very much on building a business environment out of London and London will turn into something of a combined Hong Kong-Singapore for continental Europe.

European Union leaders had hoped Brexit would catapult European financial centres like Frankfurt and Paris to the forefront of the international business scene.

But financial services expert Andreas Treichl warned Brussels Brexit could potentially help British business deliver a "big blow" to European competitors.

Speaking to CNBC, Mr Treichl said: "The big risk that I see is that if that happens the new Great Britain will concentrate very much on building a business environment out of London and London will turn into something of a combined Hong Kong-Singapore for continental Europe.

"That’s going to be a big blow to the rest of the EU – you’ve got lots of talent there, you have the infrastructure, you have the facilities.

"Don’t forget that London is not so much the banking but the services centre not only of Europe but of the world."

Mr Treichl, the CEO of one of the largest financial services providers in the world, the Erste Group, told the bloc they should beware of the risks Brexit could pose to the union.

He continued: "That’s big risk and that’s something the EU should very well aware in the negotiations over the next months.

"The country with the strongest capital market culture will, unfortunately, leave the European Union.

"It will be up to the Germans and the French to develop that together which makes it a lot more difficult."

Early signs of economic struggles in the European Union appeared earlier this week when France recorded an unexpected slowdown in its economy, fuelling concerns of the potential risks of Britain leaving the EU without a deal.

Latest reports from the French Office of National Statistics revealed the French economy stagnated in the second quarter of 2019.

The weakening resulted in a lower growth that the +0.3 predicted earlier this year. Junior economy minister Agnes Pannier-Runacher however dismissed concerns about the state of the economy, insisting investment, as well as upcoming tax cuts, will drive future growth.

Ms Pannier-Runacher said: "At this stage, there is no reason to be anxious about our pace of growth.

"Investment in business is growing, and that typically calls for future jobs and growth."

Germany also has been facing growing risks of a crisis as the German manufacturing sector continued to contract despite Angela Merkel dismissing concerns.

Economic expert Shweta Singh said: “Germany just about avoided a recession towards the end of last year.

“Growth this year will remain quite weak so consensus expectations for Germany, for example, have been consistently revised downwards.

“And you’re looking at growth of just north of 1 percent which is a significant down take from where Germany was just in 2017 growing at 2.6 percent. And 1 percent is way below Germany’s potential growth rate.

“And at the same time, the headwinds that Germany faces and the global economy faces is unlikely to disappear immediately.".

Boris Johnson has fuelled additional concern about the European economy as the Prime Minister has insisted he will ensure Brexit is delivered "come what may," warning he is willing to go through with a no deal unless the bloc agrees to change the withdrawal agreement.

Newsletter

Related Articles

Saudi Press
0:00
0:00
Close
Dogfights in the Skies: Airbus on Track to Overtake Boeing and Claim Aviation Supremacy
Tim Cook Promises an AI Revolution at Apple: "One of the Most Significant Technologies of Our Generation"
Are AI Data Centres the Infrastructure of the Future or the Next Crisis?
Miles Worth Billions: How Airlines Generate Huge Profits
Zelenskyy Returns to White House Flanked by European Allies as Trump Pressures Land-Swap Deal with Putin
Beijing is moving into gold and other assets, diversifying away from the dollar
Cristiano Ronaldo Makes Surprise Stop at New Hong Kong Museum
Zelenskyy to Visit Washington after Trump–Putin Summit Yields No Agreement
High-Stakes Trump-Putin Summit on Ukraine Underway in Alaska
Iranian Protection Offers Chinese Vehicle Shipments a Cost Advantage over Japanese and Korean Makers
Saudi Arabia accelerates renewables to curb domestic oil use
Cristiano Ronaldo and Georgina Rodríguez announce engagement
Asia-Pacific dominates world’s busiest flight routes, with South Korea’s Jeju–Seoul corridor leading global rankings
Private Welsh island with 19th-century fort listed for sale at over £3 million
Sam Altman challenges Elon Musk with plans for Neuralink rival
Australia to Recognize the State of Palestine at UN Assembly
The Collapse of the Programmer Dream: AI Experts Now the Real High-Earners
Armenia and Azerbaijan to Sign US-Brokered Framework Agreement for Nakhchivan Corridor
British Labour Government Utilizes Counter-Terrorism Tools for Social Media Monitoring Against Legitimate Critics
WhatsApp Deletes 6.8 Million Scam Accounts Amid Rising Global Fraud
Nine people have been hospitalized and dozens of salmonella cases have been reported after an outbreak of infections linked to certain brands of pistachios and pistachio-containing products, according to the Public Health Agency of Canada
Texas Residents Face Water Restrictions While AI Data Centers Consume Millions of Gallons
Tariffs, AI, and the Shifting U.S. Macro Landscape: Navigating a New Economic Regime
India Rejects U.S. Tariff Threat, Defends Russian Oil Purchases
United States Establishes Strategic Bitcoin Reserve and Digital Asset Stockpile
Thousands of Private ChatGPT Conversations Accidentally Indexed by Google
China Tightens Mineral Controls, Curtailing Critical Inputs for Western Defence Contractors
OpenAI’s Bold Bet: Teaching AI to Think, Not Just Chat
BP’s Largest Oil and Gas Find in 25 Years Uncovered Offshore Brazil
JPMorgan and Coinbase Unveil Partnership to Let Chase Cardholders Buy Crypto Directly
British Tourist Dies Following Hair Transplant in Turkey, Police Investigate
WhatsApp Users Targeted in New Scam Involving Account Takeovers
Trump Deploys Nuclear Submarines After Threats from Former Russian President Medvedev
Germany’s Economic Breakdown and the Return of Militarization: From Industrial Collapse to a New Offensive Strategy
IMF Upgrades Global Growth Forecast as Weaker Dollar Supports Outlook
Politics is a good business: Barack Obama’s Reported Net Worth Growth, 1990–2025
"Crazy Thing": OpenAI's Sam Altman Warns Of AI Voice Fraud Crisis In Banking
Japanese Prime Minister Vows to Stay After Coalition Loses Upper House Majority
President Trump Diagnosed with Chronic Venous Insufficiency After Leg Swelling
Man Dies After Being Pulled Into MRI Machine Due to Metal Chain in New York Clinic
FIFA Pressured to Rethink World Cup Calendar Due to Climate Change
"Can You Hit Moscow?" Trump Asked Zelensky To Make Putin "Feel The Pain"
Nvidia Becomes World’s First Four‑Trillion‑Dollar Company Amid AI Boom
Iranian President Reportedly Injured During Israeli Strike on Secret Facility
Kurdistan Workers Party Takes Symbolic Step Towards Peace in Northern Iraq
BRICS Expands Membership with Indonesia and Ten New Partner Countries
Elon Musk Founds a Party Following a Poll on X: "You Wanted It – You Got It!"
AI Raises Alarms Over Long-Term Job Security
Saudi Arabia Maintains Ties with Iran Despite Israel Conflict
Russia Formally Recognizes Taliban Government in Afghanistan
×