President Macron targets City of London Bankers to ‘Choose France’
The ‘Choose France’ Summit will target City of London Bankers leaving Britain Post Brexit in a push to make Paris the new Financial Centre of Europe
A bid to win investment from some of the most prominent International Bankers and CEO’s will be underway this afternoon (June 28th) during the Fourth Edition of the ‘Choose France’ Summit.
President Macron will declare Paris as a destination for investment; highlighting the attractiveness of France, which includes the opening of a new JP Morgan trading hub in central Paris. The new hub is said to have around 440 employees so far, including those relocated from London.
Among the 120 international business leaders travelling to the Summit held in Versailles, will be JP Morgan CEO Jamie Dimon and Goldman Sachs boss David Solomon.
Brexit has been reported as the reason for many Global banks such as JP Morgan removing London as their EU gateway and instead using hubs such as Frankfurt, Paris and elsewhere. EY has reported since the 2016 referendum, 14 universal banks, investment banks and brokerages have confirmed relocating their operations or staff to Paris.
Further restrictions imposed by Covid have also impacted the City of London’s attractiveness to bankers unable to travel to meet their clients despite being vaccinated.
One investment banker told the Telegraph: “We have to run a business and we do need people to go between London and New York. The French are opening their country for business. We don’t want to be an exception. We are not trying to be selfish, we are saying all business needs this.”
With Paris allowing those who have been jabbed to travel from France to other EU countries and the US without the hassle of tests and quarantines; Paris has boosted their value in terms of ideal conditions for Business Continuity and quality of life. London bankers don’t have to travel far to move their families and the number of staff willing to leave for Paris, is vital in ensuring operations can run smoothly even with the move.
Tax reforms on equity investments have also played a role in the city's value. A single flat rate of 30% has been created for income from capital gains and securities sales. Along with this is the Commercial Court of Paris now having jurisdiction over international affairs which enhances Frances judicial systems attractiveness.
But, France’s political landscape poses an unpredictable future for the country, which may play against their favour. Sustainability and trust must therefore be in their foresight because one wrong move could loosen this stronghold Paris has in the financial market.
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About the author
Lisa Hanley
Journalist
Lisa Hanley is an In - house Journalist working for The BCI. With a Masters degree in Televison Journalism from City, University of London, Lisa has previously worked as a Freelance Producer and Journalist for London Live, PA Media and Thomson Reuters Foundation. Her experience varies from producing documentaries, films and podcasts, to producing news packages for television and voiceovers for radio.
