London as a financial centre since Brexit: evidence from the 2022 BIS Triennial Survey

Key takeaways

• Historically, London has enjoyed an outsized role in euro-denominated financial transactions. We examine the latest evidence on whether Brexit has affected its central role in trading of interest rate derivatives, foreign exchange, international banking and bond underwriting.
• The 2022 BIS Triennial Central Bank Survey shows that London remains dominant in FX trading, but has lost share in euro interest rate swaps to euro area centres after five Surveys showing gains.
• London retains its pre-eminence in international banking, but its banking ties to the euro area have loosened in part owing to the shift of euro repo clearing from London to Paris.