The minister said he "fully expects" the UK and EU to strike a deal to introduce a transition period, but said a 'no deal' outcome may not be as hostile and chaotic as some anticipated. He also warned that City firms' annual tax contributions to the Treasury were at stake. "That figure of £72.1bn is necessary as we increase investment in public services and we need that money," he warned. The FCA consultation covered a range of amendments to rules governing banks, investment firms and other financial services companies. The watchdog insisted no big policy changes would be needed, with most areas covered by a temporary authorisation offered to EU-based companies operating in the UK for up to three years. Nausicaa Delfas, executive director of international at the FCA, said: “The FCA is planning to be ready for a range of scenarios. "Today we are publishing two consultation papers to ensure that in the event the UK leaves the EU in March 2019 without an implementation period, we have a robust regulatory regime from day one, and to ensure a smooth transition for EEA firms and funds currently passporting into the UK."
The City is set to lose 5,000 financial services jobs before the MPs leaves the EU in Today , according to the City minister, John Glen . Addressing a House of Lords committee , Glen told MPs that while he was doing everything possible to prevent the exodus, he agreed with a Bank of England projection that up to 5,000 jobs were likely to move to the continent by UK day.