City of London Braces for a Post-Brexit Squeeze

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City of London Braces for a Post-Brexit Squeeze
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Britain’s financial sector presents a dilemma for both sides in U.K.-EU trade negotiations

LONDON—Britain’s hulking financial sector presents a serious dilemma for both sides in the U.K.’s coming trade negotiations with the European Union. Whatever the outcome, British-based financial institutions are preparing to see their access to the trade bloc heavily curtailed after Brexit.

EU governments have sought to lure financial business from London almost from the moment the U.K. voted to leave the bloc in 2016. But some worry that if they cut off London too abruptly, they may lose access to services that only London...

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