Financial world ponders impact of a 'Brexit'

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By Euronews
Financial world ponders impact of a 'Brexit'

<p>As Britain’s future membership of the European Union hangs in the balance the financial world is looking on nervously. </p> <p>A majority of banking and business leaders there have expressed concerns about the impact a Brexit would have on the UK’s economy. </p> <p>The financial hub known as the <a href="https://en.wikipedia.org/wiki/City_of_London">City of London</a> would certainly see major changes. </p> <p>Britain is more dependent on that sector than most other European countries. </p> <p>It employs more than two million people and accounted for almost 12 percent of <span class="caps">GDP</span> in 2013, which was the last year for which figures are available. </p> <p>Right now the City of London operates under uniform EU rules, which gives companies based there access to European markets to provide financial services. </p> <p>Overseas organisations – for example a US bank – can benefit from that access by setting up a subsidiary in London; which would not longer be the case if Britain leaves the EU. </p> <p>The big banks have said they are drawing up contingency plans, <a href="http://www.euronews.com/2016/02/15/london-beats-hong-kong-to-keep-hsbc-headquarters/"><span class="caps">HSBC</span></a> – one of the few that have commented – said it may have to move 1,000 of its 5,000 London investment banking employees to Paris.</p>