How so? If you follow this space you'll know that the LCH Clearnet employes a centralisation technique to decrease the cost of margin to EU companies. To put it short, if it was on our shores it would mean Deutsche Bank & a couple of other banks would risk insolvency as they would have to post a collective 77bn euros in collateral.

You are assuming that they are making money selling financial services, which is correct. What you're not accounting for is our firms need access to cheap credit to work. It is simply not possible to raise money on the London scale anywhere else worldwide.

A few weeks ago there was a huge attempt, including a significant amount of political capital to get a raise for Monte Paschi and it did not go well. It takes decades to build the scale they have and it requires centralisation not just with the EU but with other financial centers so there is a single 'netted' margin from every other financial center in the world.

The only way it will go is London will get easy access to the EU and vice versa - because that is the only way the banking system will not need to raise billions in collateral.