Passporting is top of the list of many UK financial firms’ concerns post-Brexit.
“Will we keep our passporting rights as part of any negotiated deal relating to single market access when the UK leaves the EU?”
What does this mean? Why is it such a problem if UK firms lose their rights to “passport” into Europe? What are the alternatives and why are they so unpalatable?
And what is a realistic scenario given the different “trade models” that are possible examples for the UK post-Brexit (Norway, Switzerland and others)?
This blog tries to shed some light on passporting and why these questions matter.
We also look briefly at different trade models and apply a new metric – the Prism-Clarity “Single Market Access Compatibility” (SMAC) score. This is a judgment-based measure of the extent to which passporting – or something like it – might be possible under different trade models.