Thousands face loss of UK bank accounts post-Brexit
Thousands of UK expats living in Europe could have their bank accounts closed if Brexit plans go ahead.
Major banks sent letters to UK customers who were living in the European Union warning them their services may be closed unless they have a UK address.
This would be because, post-Brexit, it would be illegal for UK banks to service British customers living in the EU without applying for new banking licences.
Previously, a service known as ‘passporting’ allowed UK banks to operate in the European Economic Area (EEA) as member countries were all bound by the same regulatory framework.
The UK had legislated that customers with EU bank accounts living in the UK would retain access to their accounts but this would not apply the other way round.
Nigel Green, chief executive of financial advisory group deVere, described the move as “outrageously failing” clients.
“The move by these banks will be a major inconvenience to many tens of thousands of Brits living in the EU.”
“Once again, traditional banks are outrageously failing their clients who now need to take urgent steps to continue to be able to access, use, and manage their money.”
Instead, people would need to seek an organisation which already operates in the European Union. a
AUTHOR
Laura Dew
Recommended for you
Licensing regulation should prioritise consumer outcomes over institutional convenience, according to Assured Support, and the compliance firm has suggested an alternative framework to the “licensed and self-licensed” model.
The chair of the Platinum Capital listed investment company admits the vehicle “is at a crossroads” in its 31-year history, with both L1 Capital and Wilson Asset Management bidding to take over its investment management.
AMP has settled on two court proceedings: one class action which affected superannuation members and a second regarding insurer policies.
With a large group of advisers expecting to exit before the 2026 education deadline, an industry expert shares how these practices can best prepare themselves for sale to compete in a “buyer’s market”.
