Finance managers demand more support for Frankfurt

In the battle for succession to London as Europe’s financial metropolis, German politicians and managers are demanding significantly more support from the German government for Frankfurt. “Berlin must finally wake up now”, demands Harald Christ, member of the board of the SPD economic forum and even finance manager, according to a report of the “Welt am Sonntag”. France’s President Emmanuel Macron creates clear facts by promoting Paris as a financial center.

“The financial center Frankfurt slips in the competition for the succession of London, because the federal government does not care. That’s a huge problem. “Since the British voted in favor of Brexit in the summer of 2016, Frankfurt and Paris have sought to attract those parts of the international financial industry that are withdrawing from London. For months it looked pretty good for the Main metropolis. The Hessian state government advertised Frankfurt in a cautious but convincing way. A whole series of financial institutions initially decided to relocate its European activities to Frankfurt and not to Paris ?? especially as Germany also spoke the more business-friendly laws. But this has been going on for a few months now. Influential bankers blame the managing federal government for doing so.

On the one hand, neither Angela Merkel nor the former Federal Finance Minister Wolfgang Schäuble (CDU) had an interest in making themselves strong for the financial sector, according to banking circles. On the other hand, the months of coalition talks have led to Merkel and the rest of the executive federal government being unable to act. The best example is the decision to relocate the European banking supervision EBA from London to Paris. Because in Germany with Frankfurt and Bonn, two cities have applied uncoordinated by the federal government for the seat of European authorities, both institutions just did not go to Germany. “Paris has laughed a branch,” says a political advisor who is often in the French capital. Therefore, there is criticism from the banking association: “It has been done in recent years clearly too little for the financial center Frankfurt,” said head of the Association Association Andreas Krautscheid.

“We would also have wished more involvement in the awarding of the EU banking supervision EBA, which now unfortunately goes to Paris,” he quoted “Welt am Sonntag”. However, in the new coalition agreement for the first time in ten years also turned to the right screws for the financial center funding, Krautscheid mitigated his criticism slightly. However, this is not enough for industry observers, given the involvement of Emmanuel Macron. At the end of January, he invited 140 top international managers to eat in Versailles ?? including many top bankers. There he promised the business representatives profound reforms and a friendlier climate for the interests of their companies than under the predecessor governments.