The Bank of England is poised to unveil plans to allow European banks to operate as normal in the UK, after Brexit.
The plan, revealed by the BBC, would mean that European banks offering wholesale finance would operate under existing rules, without having to set up separate subsidiaries.
Brexit negotiations are to move to the next level, now agreement has been reached in the 3 key areas set out by the EU, and this seems a pre-emptive move by the UK government to help protect London's position as a key global financial hub.
Miles Celic, head of the lobbying group TheCityUK, said offering continuity to EU banks was an act of goodwill, but it was also one of enlightened self interest. "Encouraging EU banks to continue to operate in the UK will help preserve financial stability for the UK and the EU and will help defend London's position as an open global financial centre," he said.