As geopolitical tensions and economic uncertainty define the start of 2026, a clear message from the City of London is being delivered at the World Economic Forum in Davos. Chris Hayward, representing the City, is emphasising the UK's commitment to international engagement and partnership to drive economic resilience and innovation.
Spearheading Growth Through Key Initiatives
The City's strategy is backed by concrete policy actions designed to boost investment and trade. A prime example is the Berne Financial Services Agreement, which aims to break down barriers with the Swiss economy through mutual recognition.
Furthermore, the Mansion House Accord is set to mobilise £25bn of investment into UK private markets by 2030. Supporting these efforts is the newly established Office for Investment: Financial Services, acting as a dedicated concierge service to help international financial firms set up operations in the UK.
Leadership in Green Finance and AI
The UK's influence extends into critical future-facing sectors. It ranks as the world's leading jurisdiction for green finance, providing essential expertise to tackle climate change. Simultaneously, the nation is home to world-leading AI talent, positioning it to help shape the future global economy.
The sector's impact is substantial and measurable. In 2023, financial and professional services contributed £110bn in tax receipts, accounting for 12% of the UK's total. The following year, they boosted economic output by £307bn. Crucially, the sector employs 2.4 million people across the country.
Underscoring Global Interconnectedness and Strength
Recent research underscores the enduring strength of UK financial markets. A report with think tank New Financial revealed that EU banking activity involving UK banks has surged by 60% since the 2016 referendum. The UK's capital markets depth, at 204% of GDP, also exceeds the EU average of 169%.
On 22 January, the City Corporation will publish its latest independent benchmarking report, comparing London's competitiveness with global peers like New York. It is expected to highlight the City's extraordinary strengths, from human capital and robust regulation to a culture of innovation.
Chris Hayward's core message for international partners in Davos is one of continued collaboration. By championing multilateralism and promoting the UK's financial and professional services, the goal is to generate wealth and opportunity for the Square Mile, the wider UK, and its global partners.
