Financial regulators must constantly review their practices to ensure financial startups aren’t stifled from expanding, trade body the British Bankers Association (BBA) has warned.
Today’s ‘Winning the Global Race’ report called for further support for FinTech companies, which it called “an increasingly critical part of the banking ecosystem”.
It said banks need to continue investing in UK talent with degree level apprenticeship schemes, while the Home Office should reconsider tier 2 visa limits to help the employment of skilled individuals.
The BBA said the UK’s position as a global banking centre is under threat, as employment in the sector has fallen by 8% since 2011.
In 2014 the UK banking sector contributed almost 5% of the UK’s gross value added – the measure of goods produced in an economy – while it employed more than 405,000 people and contributed £31bn in tax.
Anthony Browne, BBA chief executive, said: “We have now reached a watershed moment in Britain’s competitiveness as an international banking centre. Many international banks have been moving jobs overseas or deciding not to invest in the UK.
“Today we are setting out a joint plan of action for industry, regulators and the government to tackle together the local and global threats to our competitiveness. Taking action now will secure the UK’s position and maintain the considerable contribution that international wholesale banking makes to the British economy.”