Arab Press

بالشعب و للشعب
Monday, Apr 06, 2026

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

Arab Press
0:00
0:00
Close
Iranian Drone Strike on US Embassy in Saudi Arabia Reportedly Targeted Intelligence Facility
Saudi Deputy Foreign Minister Meets French Embassy Official to Strengthen Bilateral Engagement
Saudi Arabia Calls on United States to Seize Strategic Opportunity to Reshape Middle East
Dating Apps Surge in Saudi Arabia as Social Norms Rapidly Evolve Among Youth
Saudi Arabia Detains Over Fourteen Thousand Illegal Residents in Week-Long Enforcement Drive
Saudi Foreign Minister Engages in Diplomatic Talks with Pakistan, Kuwait and Latvia on Regional Developments
Saudi Arabia Intercepts Cruise Missile as Regional Tensions Intensify
Saudi Stock Market Edges Higher as Tadawul Index Records Modest Gain
Underlying Rivalry Between Saudi Arabia and UAE Persists Despite Temporary Calm
Saudi Arabia’s Non-Oil Sector Contracts in March as Regional Tensions Weigh on Business Activity
Saudi Arabia Unveils Ambition to Establish Prestigious Global Prize Rivaling the Nobel
Saudi Crown Prince to Engage Wall Street in Push for Investment and Economic Expansion
Iran Accuses Saudi Arabia and UAE After Downing of Chinese-Made Drone
Saudi Arabia Condemns Attack on Hospital in Sudan, Calls for Protection of Civilians
Coordinated Drone Strike Targets CIA Facility Within US Embassy in Saudi Arabia
Italy’s Meloni Prioritises Energy Security and Strait of Hormuz Stability During Gulf Tour
Uncertainty Emerges Over Timeline and Direction of Saudi Arabia’s Ambitious Ski Resort Project
UAE and Saudi Arabia Escalate Strategy with Drone Operations Targeting Iran
Trump Delivers Characteristic Remarks on Saudi Crown Prince Amid Intensifying Iran Conflict
Drone Strike on US Embassy in Riyadh Caused Greater Damage Than First Reported
Saudi Arabia Introduces Flexible Solutions for Expired Visas Amid Regional Disruptions
Saudi Arabia’s Online Car Market Accelerates with AI Pricing and Fully Digital Buying Experience
Saudi Arabia Reassesses Defence Strategy as Iranian Drone Threat Drives Shift in Military Partnerships
Drone Strikes Target Saudi Arabia, Kuwait and Bahrain as Regional Conflict Intensifies
Japan and Saudi Arabia Align Efforts to Ease Rising Tensions with Iran
Saudi Crown Prince and Italy’s Meloni Strengthen Strategic Ties in High-Level Talks
SpaceX Explores Potential Five Billion Dollar Investment from Saudi Sovereign Wealth Fund Ahead of IPO
Saudi Arabia Lifts Key Import Barriers to Expand Access for U.S. Beef Exports
Saudi Arabia Enforces Strict Travel Penalties for Visits to Restricted Countries
Italy’s Meloni Embarks on Strategic Gulf Tour to Address Energy Security and Regional Stability
Saudi Film Festival Rescheduled to Summer as Regional Tensions Continue
Saudi Arabia Reports Forty Two Point Six Billion Dollars in Foreign Tourist Spending in 2025
Saudi Crown Prince and Russian President Hold Strategic Call on Escalating Regional Crisis
Saudi Arabia Advances Rail Network as Strategic Alternative to Strait of Hormuz Shipping Route
Ruanyun Edai Launches Saudi Arabia Hub With Forecast of Ten Percent Revenue Growth
Greek Defence Minister Visits Troops in Saudi Arabia Following Successful Missile Interception
Saudi Arabia Expands Global Strategy With Focus on African Critical Minerals
SpaceX Explores Potential Five Billion Dollar Investment From Saudi Fund Ahead of Possible IPO
US Central Command Dismisses Iranian Claim of Mass Casualties Among American Personnel in Saudi Arabia
Co-Diagnostics to Establish Molecular Diagnostics Facility in Saudi Arabia Through Joint Venture
Trump Engages Saudi Crown Prince in Talks on Potential Iran Ceasefire
Saudi Arabia’s Sadara Suspends Operations as Supply Chain Disruptions Intensify
Saudi Arabia Accelerates Energy Shift by Trading Oil Revenues for Battery Investments
Saudi Arabia Introduces Flexible Options for Expired Visas Amid Regional Disruptions
Online Narratives Surge as Iran–US Tensions Spill Into Digital Arena Following Trump Remarks
Saudi Arabia Urges Trump to Seize Strategic Moment as UAE Weighs Ground Deployment
Saudi Arabia Redirects Nearly One Million Barrels of Oil Daily Away from Strait of Hormuz
Saudi Arabia Carries Out Execution of Businessman Linked to 2011 Qatif Unrest
Ukraine–Saudi Defense Pact Signals Rising Demand for Battlefield Expertise
Saudi Arabia Balances Diplomacy and Defense Preparedness Amid Iran Conflict
×