world

Britons living in EU could lose access to UK bank accounts in no-deal Brexit

26 Comments
By Huw Jones and Andrew MacAskill

The requested article has expired, and is no longer available. Any related articles, and user comments are shown below.

© (c) Copyright Thomson Reuters 2018.

©2018 GPlusMedia Inc.

26 Comments
Login to comment

This to all intents and purposes, scaremongering.

A scenario that would result in UK nationals living and working abroad losing access to there UK bank accounts in the manner described, is extreme, and indicative not only of a complete breakdown of UK/EU relationship, both political and economic, but a precursor to a trade/economic embargo arisen from the most hostile of withdrawals.

There are some 3.5 million EU citizens living and working in the UK. A large proportion from EU8 eastern European countries. The consequences for there extended families would be stark and punitive.

More that 6000 investment funds rely on City of London financial services would be under implicit threat.

To publish documents of this nature, without recourse to forthcoming details from the finance ministry/Bank of England proposals for settlement and legal ownership is recklessly irresponsible.

I suggest this a an attempt to soften up the electorate for a second referendum that will be rigged to split the leave vote.

Anyone could be forgiven in believing the world as we all know it revolved around just 28 countries.

Breathtaking arrogance

-1 ( +4 / -5 )

Whilst I believe that the results of the referendum should be respected (despite being a bad idea), British folk should get used to the idea that not everything is going to go their way.

Time to own this. The EU does not revolve around one little country.

-1 ( +3 / -4 )

I have access to my British bank account from here in Japan, so not sure I understand the concern or why it would be different.

3 ( +5 / -2 )

The EU does not revolve around one little country.

It does to some extent - Belgium.

0 ( +2 / -2 )

My UK bank account was frozen. I live in Japan. I got letter that my account wasn’t used for 6 months so I can’t use it, or get any correspondence.

1 ( +1 / -0 )

"Leaving the EU without a deal would cause major inconvenience to millions of pensioners, travellers and drivers," said Hugh Savill, director of regulation at the Association of British Insurers.

It sure would. Many overseas based UK pensioners currently rely on European healthcare. This would no longer be the case under a no deal Brexit scenario (I.e no reciprocal healthcare agreement).

0 ( +0 / -0 )

All Britons will face higher costs to make card payments in the EU when travelling abroad

This would only be the case if the UK government did not keep the cap on fees that is currently in place. That is entirely a choice for the UK government to make and has nothing to do with the EU.

Over a million Britons living abroad may not be able to access their UK bank accounts to receive pensions and salaries

I can access all my UK bank and credit card accounts from Japan, move money around, make payments etc. No problem. Why should it be any different for someone living in the EU?

The document said that without EU action, businesses across the bloc could no longer use investment banks in Britain

That's tough luck for Britain, and the City in particular, but won't affect me in the slightest. Good luck trying to make up all the lost tax revenue.

1 ( +2 / -1 )

Three are three distinct flavours of political fudge in the offering....

A) An extension to the article 50 exit procedure requiring numerous layers of political fudge, smoke and mirrors and duplicitous skulduggery from both the UK government and EU commission council of ministers.

B) Find a method of extending the negotiation process into a redefined/reworked transition period. Fudge and a helping of there's no other choice syndrome.

Lastly C) the second referendum, defined or masquerading as a preferendum, multi-option preference, a detestable method of vote transference, replacement.

Take your pick.........

3 ( +3 / -0 )

Well they voted for it. It was always stupid, and continues to be stupid. It was entirely based on prejudice and frankly they deserve whatever happens as a result. Just like the US.

-1 ( +4 / -5 )

You have to be resident in the UK to have a bank account.

1 ( +1 / -0 )

You have to be resident in the UK to have a bank account.

Do you mean to open a bank account? I've used the same account since I moved here with no problems. Then again, Natwest may not know I'm here.

1 ( +1 / -0 )

A second referendum should be enshrined in law when (if) there's no deal.

Brexit is and always was insanity. And both major parties are utterly inept.

-1 ( +0 / -1 )

Can't wait for March 2019...border control for the lads and lassies trashing continental inner cities. Priority for other EU citizens applying for jobs etc.

0 ( +2 / -2 )

Not many people think the second referendum idea through. Nobody is going to accept a referendum with 3 options: 1) Remain 2) Leave on Chequer's Terms 3) Leave on No Deal basis. That would deliberately split the leave vote.

If there were to be another referendum on just two choices (Remain or Leave), it would be a huge waste of money and extremely divisive. Neither side can win with a 60% majority, and if Leave won again (which I think it would by a bigger margin), the extreme Remainers would never accept it.

1 ( +2 / -1 )

The technical paper suggests quote, a UK customer of UK banks, resident in the EU “may lose the ability to access lending and deposit services, and insurance contracts” …...

Now that is not losing access to ones bank account.

I have not been able to obtain full copies of these so technical notes/paper. However I hope to by close of play Friday UK time.

I am a Japanese citizen, with a UK Building Society account, also a Bank account in Lyon, France

Not being resident n the UK/EU, although having property in London and Brighton, also business interests, I still am not able to apply for Individual Saving Accounts or a number of investment products even though I have a Tier 1 visa.

Anger and frustration have been festering because of the both EU and UK actively fanning the flames of discontent, a toxic, economic and political red mist.

The political elite, the UK/EU commission mandarins genuinely view UK departure as the end of a marriage. Also are acutely aware that a successful UK, both economically and politicly would or could encourage other member states to follow suit.

The remain campaign has the same stench of elitism, Best for Britain, the People Vote, Open Britain etc etc....... Tony Blair, Peter Mandelson, Alastair Campbell, John Major, Richard Branson, George Osborne, David Cameron, Nick Clegg to name a few fail to inspire the electorate to view the EU commission its institution, and council of ministers as anything other that a tribe of the appointed unaccountable.

1 ( +1 / -0 )

The political elite, the UK/EU commission mandarins genuinely view UK departure as the end of a marriage. Also are acutely aware that a successful UK, both economically and politicly would or could encourage other member states to follow suit.

On which knowledge is this nonsense based? :)

0 ( +1 / -1 )

Hi Netgrump, Pure hypothesis, opinion, the unbalanced mispricing of the single currency within the Eurozone and crucially current economic and political turmoil in southern Europe especially Italy. UK contribution to the single market and MFF budget.

The Brexit-sized hole in the future EU budget

http://blogs.lse.ac.uk/brexit/2018/01/22/the-uk-is-a-net-contributor-to-the-eu-budget-following-brexit-the-loss-of-uk-contributions-will-therefore-likely-require-either-a-reduction-in-overall-spending-or-for-the-remaining-member-states-to/

Britain can make a great success of (a clean) Brexit

http://blogs.lse.ac.uk/brexit/2018/01/18/britain-can-make-a-great-success-of-a-clean-brexit/

But more importantly Netgrump lets hear your opinion. Which I would honestly never dismiss as nonsense.

0 ( +0 / -0 )

One final request/s Netgrump.....

Do you think there should be a second referendum?

If so, in what context should this return the electorate happen?.

A binary yes/no or perhaps preference multi option format?

How has the result 2016 referendum affected you personally?

0 ( +0 / -0 )

opening a bank account in the UK is more difficult than getting a visa for an african with no money, shoes, passport or place to stay.

0 ( +0 / -0 )

I've used the same account since I moved here with no problems. Then again, Natwest may not know I'm here.

If you still have regular dealings with your bank and use their services, I'm guessing they would know?

I am a Japanese citizen, with a UK Building Society account, also a Bank account in Lyon, France

Not being resident n the UK/EU, although having property in London and Brighton

Folks, for the love of gosh - please don't reveal personal details online.

1 ( +1 / -0 )

Many thank for the advice Toasted Heretic, I have decared assests for the tax purposes, and have all the necessary property and appropriate account security in place.

1 ( +1 / -0 )

Many thank for the advice Toasted Heretic, I have decared assests for the tax purposes, and have all the necessary property and appropriate account security in place.

Fair enough, so. Just be wary, all the same. You never know who's is reading these days.

1 ( +1 / -0 )

@ itsonlyrocknroll

Pure hypothesis, opinion,

Fair enough..

The political elite, the UK/EU commission mandarins genuinely view UK departure as the end of a marriage. Also are acutely aware that a successful UK, both economically and politicly would or could encourage other member states to follow suit.

The UK economy is thriving at the moment…like most other developed and development countries thus definitely no reason for continental EU countries ‘to follow suit’.

The UK may be the second economy of the EU but when you break down the figures to GDP [PPP], the UK is in the league of France and Japan and with $ 45.666 way behind most Northern EU countries with figures above $ 50.000. The perspective for 2023 is no sign of future ‘success’ either.

http://statisticstimes.com/economy/countries-by-projected-gdp-capita.php

These figures give a good comparison based on purchasing power although by no means based on personal incomes. But one can imagine that a country that prevails ‘grandeur’ above problems in their ‘banlieus’ [France] or prevails to maintain their position as preferred Knight of the US with a few rusty submarines with nuclear abillities above fire proof social housing [UK] doesn’t exceed other developed EU countries in adressing the needs of the population.

More comparing indicators:

https://ec.europa.eu/eurostat/statistics-explained/index.php/Unemployment_statistics#Longer-term_unemployment_trends

The UK scores great on unemployment with a figure of 4.1%. But……

https://ec.europa.eu/eurostat/statistics-explained/images/8/81/Low_wage_earners_new.jpg

..about what kind of jobs are we talking..

In the LSE book promotion ‘Britain can make a great success of a clean Brexit’you attached the writers Halligan and Lyons argue that Britain outside of the protectionist customs union ‘will be able to cut trade deals with the world’s major and fast-growing economies, which Brussels has largely failed to do’

It’s clear at this very moment, that due to the latest global circumstances, only the EU has made some excellent trade deals.

Personally I think this book is already ripe for the antiquarian. 

More on British economy..

https://www.opendemocracy.net/neweconomics/who-owns-britain/

…Politically

As many know by now is the chance for a ‘clean deal’ limited with March 2019 in sight. Theresa May became ‘laughing stock’ months ago with ‘Make us an offer’ and since than not much has changed. 

Trump suggested that the US and UK could negotiate a ‘tremendous’ trade agreement after Britain negotiates its exit from the EU.                                                                                           But when he commented UK/EU negotiations in a SUN interview with:  ‘I actually told Theresa May how to do but she didn’t agree, she didn’t listen to me. She wanted a different route’such an agreement seems far away.                                                                                                              I don’t like May and her team but as a guest trashing the host on her own soil, that’s rich. On the other hand, that’s maybe the fate of knights, you can pet them and… 

In the meantime….

https://whatukthinks.org/eu/questions/if-there-was-a-referendum-on-britains-membership-of-the-eu-how-would-you-vote-2/

* *the unbalanced mispricing of the single currency within the Eurozone 

Not sure what you mean with unbalanced mispricing [ my English is limited but mispricing sounds already pretty unbalanced to me ]….but some mispricing is a fact within the current Eurozone as certain economies don’t match yet. With the silent entry of Bulgaria many say that given the state of that country’s economy the EU didn’t learn of Greece. Others say that there are other drivers at work for speeding this up.

https://www.reuters.com/article/us-bulgaria-election-russia-idUSKBN13611H

Personally I’m in favor of a smaller Eurozone but at the moment it’s no use ‘to cry over some spilled milk.’ 

and crucially current economic political turmoil in southern Europe especially Italy

The new populist government in Italy is a new challenge to be solved. The populists in charge blame the EU and Germany in particular for everything that goes wrong in their country. Some of their financial ‘experts’ say that Italy should leave the Eurozone but the majority of the Italians still prefer the Euro.

https://www.bloomberg.com/news/articles/2018-08-20/bond-market-punishment-hangs-over-italy-s-leaders-before-budget

Some see the Euro as a security for their savings and others see it as a symbol for being one of the  founding fathers of the EU.

Italy is a net-contributing EU member but need the QE [bond buying] program of the ECB to keep the country afloat. The artificially kept low interest rate is needed to make that possible but is for example effecting capital based pensionfunds in the Northern EU countries where retired people didn’t receive their inflation corrections for several years now.                                                           

The QE program is recently extended till the end of this year but they don’t expect the interest to rise till the second half of 2019. In that year the term of the ECB's ‘Don’ Mario Draghi will end. We’ll see where this eurosceptic leadership wil lead to but it may go as in a dramatic Italian movie that often starts with a lot of fuzz and where people come to their senses at the end. 

 … UK contribution to the single market and MFF budget. The Brexit-sized hole in the future EU budget…

As Iain Begg explained in the LSE article you attached there will be a € 10 billion Brexit-sized hole in the EU budget but that € 40-50 billion ‘exit fee’ that will fill the gap for a few years. British negotiaters mentioned € 50 billion for now.

The Northern countries are at the moment unwillingly but there’s time to sort that out. I belong to those who think that countries who are not willing to receive refugees, already net receivers of EU money, should receive a bit less.

Do you think that there should be a second referendum?

If so, in what context should this return to the electorate happen?

A binary yes/no option perhaps multi option format?

Doesn’t sound realistic but that’s for the Brits to decide. I haven’t been in the UK since 1988 . For you it’s different so what do you think yourself?

How has the result 2016 referendum affected you personally?

Guess you’re aware by now that you’re dealing with a continental EU citizen..

So, no..

More on the EU…

German minister of Foreign Affairs, Heiko Maas wrote an interesting article in the German business newspaper Handelsblatt :

https://global.handelsblatt.com/opinion/making-plans-new-world-order-germany-us-trump-trans-atlantic-relations-heiko-maas-europe-956306#.W30v1EXjSfI.twitter  

Angela Merkel is making her South-Caucasus trip now, where she visits Georgia for a refugee deal and their wish to join the NATO to secure protection against Russia, a visit that wouldn’t please Putin although…

https://eurasianet.org/s/merkels-visit-to-tbilisi-leaves-georgians-disappointed 

She visited Armenia and also Azerbaijan seeking alternatives for Russian gas supplies.

Why bringing up Germany? It becomes time for new leadership in the Evening land, the first signs might be there that the Germans will take the lead..

Which I would honestly never dismiss as nonsense.. 

I sometimes use hyperboles and provocations to trigger debate but honestly it’s on some threads on this forum also adapting to the lingua franca of the comments .. :)

0 ( +1 / -1 )

GDP [PPP] per capita **

1 ( +1 / -0 )

Kudos Netgrump, the time taken to research and provide the links is impressive and appreciated.

As once a student, at the LSE, a decade, plus one, I still have access to the moodle.

May I offer some humble advice. If you are employed in thebUK, and as a EU citizen, it is worth considering euro spread account, best move this forward at the your trusted bank/country of origin.

The euro inbalancing can be explained

Intra-EU trade in goods - recent trends

https://ec.europa.eu/eurostat/statistics-explained/index.php/Intra-EU_trade_in_goods_-_recent_trends

EU to say French economy out of balance, Germany surplus too high

https://www.reuters.com/article/us-eu-imbalances/eu-to-say-french-economy-out-of-balance-germany-surplus-too-high-idUSKBN1602BR

I have previously suggested the France /German comparison, believe it or not, productivity in France is approaching German levels.

However the respective labour laws have not been able to converge at the same speed .

It is also worth perusing this from Politico

https://www.politico.eu/article/angela-merkel-peter-altmaier-jens-weidmann-ecb-commission-changes-target-in-quest-for-german-eu-dominance/

0 ( +0 / -0 )

@ itsonlyrocknroll

I like the LSE site so thx for that and for your advice that I will not use as I'm not employed on the Island.

Instead I'm thinking about opening a Yen account in HK at a branch of a Japanese bank as a non-resident. Easy oin HK with Chinese banks so curious of that works out next time I'll visit.

Always been sceptic about French productivity and labor productivity in particular but there are probably new managers at stake. PSA is doing a good job at German carmaker Opel, before owned by GM.

And yes, Merkel prefers Juncker to be replaced by a German and hopefully not another South-European at the ECB...

You didn't answer my Brexit counter question yet... :)

Have a good week !

0 ( +0 / -0 )

Login to leave a comment

Facebook users

Use your Facebook account to login or register with JapanToday. By doing so, you will also receive an email inviting you to receive our news alerts.

Facebook Connect

Login with your JapanToday account

User registration

Articles, Offers & Useful Resources

A mix of what's trending on our other sites