BoE's Bailey: EU locality policy for financial services is controversial

Bank of England Governor (BoE) Andrew Bailey is delivering his remarks on the state of the economy and the policy outlook at the Treasury Select Committee hearing.

Key quotes

"Noticeable that the EU location policy for financial institutions seems to be coming to the surface."

"The EU's locality policy for financial services is controversial, of dubious legality."

"We would be concerned from a financial stability perspective if the EU tried to force institutions to localise some operations in the EU."

"Erosion of stability of global clearing system would be a concern."

Market reaction

Market participants don't seem to be paying much attention to these comments. As of writing, the UK's FTSE 100 Index was down 0.22% on the day at 6,612.