London City warns Dublin’s funds industry to brace for its strong stance during EU discussions.

The City of London has warned Dublin’s funds industry that it will “flex its muscles” if the Irish capital attempts to lure more financial services business away from London following Brexit. This move comes as both cities continue to negotiate with the European Union over post-Brexit access to the single market, with Dublin trying to attract firms looking to move away from London. This article will explore the potential consequences of such a showdown and its impact on the wider financial industry.


The lord mayor of the City of London, Nicholas Lyons, who was born in Dublin but educated in Britain, recently expressed a desire for greater post-Brexit cooperation with Ireland in public, but privately he has been more forceful. He hinted to international journalists that the UK has ways of damaging Ireland’s financial services sector if a post-Brexit equivalence agreement with the European Union is not reached. Lyons suggested that Dublin’s burgeoning fund administration sector could be curtailed with some relatively small regulatory changes, and stated that the UK government wants to help the City be as competitive as possible. Irish officials are skeptical that the City has leverage over Dublin, but there may be some tough negotiations ahead.


As the Brexit deadline approaches, tensions between the City of London and Dublin’s funds industry continue to rise. The threat of the City flexing its muscles to impact Dublin’s funds industry could have significant consequences for both cities. However, it is clear that negotiations between the UK and the EU will undoubtedly shape the future of financial services in Europe. Regardless of the outcome, the City of London must tread carefully and ensure that any actions taken do not result in long-term damage to its reputation or relationship with neighboring financial centers. Only time will tell how this situation will play out, but one thing is certain – the financial landscape of Europe will never be the same again.