Sudden withdrawal by British banks of the accounts of customers in the EU

Question écrite de Mme Caroline NAGTEGAAL - Commission européenne

Question de Mme Caroline NAGTEGAAL, Mme Liesje SCHREINEMACHER,

Diffusée le 24 septembre 2020

Subject: Sudden withdrawal by British banks of the accounts of customers in the EU

Recently, a number of UK banks have informed both retail and corporate customers in the EU that their UK bank accounts will be closed,1. Without an agreement on the type of future trade relationship with the UK (no-deal Brexit), UK banks will lose their passporting rights. A number of banks have therefore also opened offices within the EU (post-Brexit) in order to continue providing services. However, even banks with offices on the continent are now closing accounts.

1. Can the Commission state the grounds on which the accounts are being closed and whether those grounds are legitimate?

2. Does the Commission regard this as an inevitable consequence of a ‘no-deal Brexit’? Or does it see ways of helping those concerned without undermining its Brexit negotiating position?

3. Why is there a transitional regime in place for insurers, which can continue to provide services for 24 months, but no such regime in place for banks2?

1 https://www.theguardian.com/money/2020/sep/21/britons-eu-uk-bank-accounts-closed-lloyds-barclays-brexit

2 https://www.toezicht.dnb.nl/binaries/50-238351.pdf