London still the most attractive financial centre in the world despite Brexit, survey finds

Economists, politicians and City lobbyists have vocally warned about the dangers Brexit poses to London’s position as the world’s pre-eminent banking centre

London is still the world’s most attractive financial centre, despite fears of a mass exodus of bankers from the UK due to Brexit, a new survey has found.

London beat rivals New York, Hong Kong and Singapore to top the Z/Yen Global Financial Centres Index (GFCI) published on Monday. The survey takes into account of a host of factors, such as quality of staff and infrastructure, to rank 92 cities around the world.

The UK capital this year increased its lead over second-placed New York to the biggest between the two cities since the survey began in 2007. New York’s ranking fell 24 points from last year, a drop which Z/Yen said was “presumably due to fears over US trade” under a Donald Trump presidency.

Mr Trump has pulled out of the proposed TTIP trade agreement with the EU and has pledged a more protectionist “America First” approach to economic policy.

Economists, politicians and City lobbyists have vocally warned about the dangers Brexit poses to London’s position as the world’s pre-eminent financial centre, and dozens of large banks and insurers have already outlined plans to move some staff to Frankfurt, Dublin, Paris and other EU cities in order to carry on their European business as normal after the split.

That has helped Frankfurt jump from 23rd in the table a year ago to 11th this year. Dublin edged up to 30th from 33rd.

The true picture for London may be less rosy than the survey suggests as talks between the UK and EU officials have come to an apparent standstill since the the poll was conducted in June.

Relations between Brexit Secretary David Davis and the European Commission’s Michel Barnier have become increasingly strained in recent weeks.

Last month Mr Davis accused the EU of a lack of “flexibility and imagination” in its approach, while Mr Barnier said the UK’s demands were “nostalgic and unrealistic”.