City of London under threat from New York

It has been revealed that London has lost its crown as the centre of the worldwide banking and finance industry with news that New York is now level pegging with the City of London in the latest Global Financial Centres Index. This is a bitter blow for the UK authorities who have been fighting the EU for some time to at least attempt to maintain the competitive edge which the City of London has had for many years.

There is a feeling that the EU is now looking to sideline the City of London somewhat in favour of a central Europe style financial capital. However, there are many who believe the EU has made a massive error over the last few months with new taxes aimed specifically at the highly lucrative components of the UK market. Many believe these additional costs could ultimately drive business away from Europe altogether and into the arms of New York and other prominent financial cities around the world.

Why the EU did not use London's power and influence to spearhead a European financial revolution is a mystery to many because ultimately what the EU is looking to create is already there in London. In the midst of this conflict and confusion between London and the EU, it looks as New York could be the major benefactor in the short to medium term.