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Clearing houses face uncertainty of short-term EU access deals in post-Brexit UK

The lack of a permanent agreement with the EU will be a cloud over the UK's lucrative post-Brexit clearing market, IRSG chair Kay Swinburne says

Equivalence has become a political hot potato since the UK’s vote for Brexit in 2016
Equivalence has become a political hot potato since the UK’s vote for Brexit in 2016 Photo: Getty Images

The UK clearing industry needs to brace for the uncertainty of repeated extensions to post-Brexit rules with the European Union, a prominent regulatory specialist said.

Since the official departure from the trading bloc in December, the UK's once-dominant industry of guaranteeing financial trades has been under threat, with significant volumes of business moving to the continent after the two sides failed to secure a permanent deal.

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