More Remain lies proved wrong

After all, the reported scaremongering. the City proves the pessimists wrong

The amount raised from new company listings in the UK markets in 2021 was £13.9bn — almost three times 2020 and crucially more than three times higher than pre-pandemic 2019 — the last full year BEFORE the official Brexit.

New company listings included Dr Martens plc — which raised £1.3bn — and Deliveroo — which came top with £1.5bn raised.

The massive increase in numbers for the City after Brexit

In 2019 only 35 companies were listed in the City, while in 2020 that rose to 38 even during the pandemic — but these numbers were trounced by a whopping Brexit bonanza last year of 108 firms coming to market and raising nearly £14bn in capital via the City.

New company listings in London’s markets

Year and number of IPOs raised

• 2019: 35
• 2020: 38
• 2021: 108

A total of 53 companies debuted on the City’s ‘main market’ of the London Stock Exchange, raising £11bn, against only 22 companies in 2020 and 25 in 2019. The remaining companies raised £2.9bn of capital on the junior market, AIM, with 55 companies in 2021, 16 in 2020 and 10 in 2019.

No time to relax

Now the Chancellor is helping the City beat last year’s numbers by introducing a new listing regime with rules specially designed to attract the fastest growing tech companies from around the world. City insiders insist such reforms must continue and at a faster rate, as other financial centres grow envious of the UK’s success.

Commenting on the City’s performance, Chancellor of the Exchequer Rishi Sunak said:

“It’s fantastic to see that the City remains one of the best destinations for firms to go public.”

He added that the new rules would make London:

“more open, more competitive, more technologically advanced, and more sustainable.”

The Rt Hon Rishi Sunak MP

London’s markets easily beat off EU competition

While the totals and the trend were good news for the economy and the Treasury, what was also significant was how the EU competition was left trailing despite so many Rejoiners talking up a supposed and inevitable demise of the City.

League table of top four European centres for Initial Public Offerings (IPOs)

The market used and funds raised

• London: £13.9bn
• Stockholm: £9.4bn
• Amsterdam: £7.2bn
• Frankfurt: £6.9bn

Now the Chancellor is helping the City beat last year’s numbers by introducing a new listing regime with rules specially designed to attract the fastest growing tech companies from around the world. City insiders insist such reforms must continue and at a faster rate, as other financial centres grow envious of the UK’s success.

A leading City figure Professor Daniel Hodson is the Chairman of the CityUnited Project and The City for Britain, said

“The City leads a highly competitive global market, but with envious Continental rivals.

“Brexit gives it massive opportunities to secure its position with quick regulatory reform, but far greater urgency and priority is needed for the earliest possible launch of a wholesale Sterling Central Bank Digital Currency to protect its core payments and settlements system from a continuing EU onslaught, not least out of Paris.”

- Professor Daniel Hodson, Chairman of the CityUnited Project and The City for Britain; Vice Chairman of The Independent Business Network. Formerly Gresham Professor of Commerce, CEO of LIFFE, Deputy CEO of Nationwide Building Society, a director of the London Clearing House and the Post Office.

At the time of writing, this story had not been found on the BBC website but had been covered by City AM and This is Money (Daily Mail).

The Remainers told us London was finished if we left the EU. Well, the facts speak for themselves. If left alone by the politicians to get on and do business, the City can and will prosper.

Previously the real threats to the City were coming from the meddling of Brussels bureaucrats who were continuing to devise more regulations that would tie London in knots and make it less attractive against the real competition — New York, Singapore and Hong Kong — not Frankfurt, Paris or Amsterdam.

There is still work to be done, however. Markets can go up and markets can go down — and no financial centre can ever rest on its laurels. A thorough review of regulations and laws that hold back the City — and all other UK centres of financial services — is vital and the continued relaxation of unnecessary or outdated restrictions that impede business to no benefit of stakeholders needs to proceed.

2021 was only the start — we need to see further gains for the economy in 2022.

[ Sources: London Stock Exchange (LSE) | Federation of European Securities Exchanges (FESE) | KPMG ]