Economic security

Barclays says Brexit will not curb London’s ‘gravitational pull’

The chief executive of Barclays expects London will retain its “gravitational pull” as a leading centre for global capital markets, despite concerns that the Brexit vote will lure business out of Britain.

Speaking at the FT Banking Summit, Jes Staley said that although there was much uncertainty surrounding Brexit, London would still sit alongside New York as one of the major capital markets hubs.

“The users of capital find the providers of capital, not the other way around, and the providers of capital, by and large, are resident in London and New York,” he said.

“I don’t think London will lose its gravitational pull in terms of management of capital in any reasonable timeframe.”

Mr Staley’s comments follow concerns among a number of advisory firms and think-tanks that London could cede its place as a key financial centre as a result of Brexit. Fears have surfaced over the possibility that leaving the EU could end “passporting”, which allows UK-based financial services firms to operate across the bloc.