Tuesday, 23 April 2024
UK’s Brexit cast-offs: Paris to take European Banking Authority after Britain’s EU divorce
A tough day of discussions and voting saw the French capital tied with Dublin at the end of the third round of voting, with no decisive winner picked by EU states.
The Estonian chair of the meeting then drew lots to pick Paris as the winning bid.
Germany’s banking centre, Frankfurt, lost out early in the race, despite being an early favourite to win the bid.
It had previously been tipped to poach finance jobs from London after Brexit, as well as the EBA, given that it is the home of the European Central Bank, but these predictions did not come true.
Prague, the capital of Czechia, had also been a favourite to win the bid after the European Medicines Agency went to a Western European city.
It was thought the EBA would then go to an Eastern European nation to keep the balance, however Paris was chosen instead.
The EBA sets rules and regulations for banking, used by the European Central Bank to carry out tests of the banking sector within the European Union.
It has been located in London since its creation in 2011, but will now relocate across the channel before March 2019, when Britain is set to quit the bloc.
Amsterdam was chosen as the new headquarters of the EMA as it also plans to relocate from London.
It tied with Milan during the final round of voting by EU Ministers, following which lots were drawn to choose the new host city.
The Netherlands capital will become home to the EU medicine regulator following Britain’s departure from the bloc in March 2019.
The EMA itself welcomed the decision following fears many of its leading staff members would have quit had the EU chosen a less attractive host city.
Pharmaceuticals groups also hailed the move, having also feared the EU could choose a drab location in an Eastern European ex-Communist state, making working for the body less attractive to Europe’s best and brightest.
It was a narrow victory for Amsterdam, however, as Milan almost won outright in the second round of voting. Just two more votes would have stopped the contest there.
However the run-off between Amsterdam and Milan, after Copenhagen was knocked out, saw a 13-13 draw that had to be decided by lucky dip.
Bratislava, the capital of Slovakia, came fourth in the vote.
Despite fierce competition for the privilege of hosting the institutions, European leaders are keen to avoid tough disputes and show unity as Brexit threatens to fracture the bloc.
EU Council president Donald Tusk, who chaired the summit, tweeted: “Whatever the outcome, the real winner of today's vote is EU27. Organised and getting ready for Brexit.”
However Italy’s EU affairs minister Sandro Gozi said the choice had left a “bitter taste in the mouth” for the team backing Milan to host the EMA.
After Milan won every previous round, he said: “It’s like losing a final on penalties.”
Re-disseminated by The Asian Banker from Express.co.uk
