The British government is ready to push for the Brexit settlement plan, which has been supported by the City of London but opposed by Brussels, according to a report in the Financial Times.
Finance Minister Philip Hammond could deliver a speech as early as next week to support a mutual recognition system for regulating post-Brexit financial services in an effort to keep City of London gaining access to the Union, according to with FT.
Under the agreement, Britain and the European Union will recognize each other 's regulatory and supervisory status, an option favored by the financial services sector. A spokesman for the finance ministry declined to comment on the report, citing speculation.
The final decision on the best model to be selected has not been made yet, Hammond allies said according to the publication.
The Governor of the Bank of England, Mark Carney, has stated that Britain and the EU should adopt a system of mutual recognition, otherwise they run the risk of hurting financial services across Europe.