A British exit from the European Union would probably do nothing to cut the amount of capital markets regulation in the UK's financial sector, according to a new paper from the International Capital Market Association, dashing hopes of a potential escape from onerous European rules.

In a paper published on February 26 entitled Brexit: Practical Implications for Capital Markets, Icma - whose 500 members include banks, asset managers and other financial firms - outlined a range of important issues for the UK and its capital markets participants, both domestic and international.