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BREXIT MEANS BETTER TRADE

Summary:

EU members cannot trade in Swiss equities, due to a Swiss ban put in place in 2019. The UK was able to return and to expand this trading, which is worth about £1.6bn a day, and so about £8m a day goes to HMRC. That’s just over £2bn a year in additional tax revenue.


Explanation:

In July of 2019, Swiss regulators introduced a ban on EU exchanges being able to trade in Swiss equities, following a collapse in negotiations with the EU and the resultant loss of equivalence status for the Swiss stock market – after the European Commission allowed the time-limited status to lapse.

Fast- forward two years to February of 2021, and the UK now being outside of the EU regained the ability to trade in Swiss stocks on the London markets.

Before the ban was put in place in 2019, London platforms handled around 1.2 billion euros daily in Swiss shares – which with necessary fees would net around £8 million per day to HMRC. Over the course of the year that equates to around £2 billion that EU membership took away from the UK coffers in 2019 – and Brexit was able to return to them.


Reference: https://www.reuters.com/world/uk/switzerland-lifts-ban-london-will-resume-trading-swiss-stocks-2021-02-03/


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