The referendum on the UK’s membership of the EU, due before the end of 2017, is forcing domestic banks to reckon with the prospect of a so-called ‘Brexit’. Such an outcome would have huge implications for British banking, which is one of the country’s most international industries.
While many UK banks have a global presence, the country also plays host to a large number of foreign bank branches. In 2013, these made up 31% of total banking assets (see chart one). Of these branches, 43% were part of larger banking groups domiciled in other European Economic Area countries.
