Belfast Telegraph

Japanese finance company sets up shop in Germany

Sumitomo Mitsui Financial Group (SMFG) has become the latest financial firm to open a subsidiary in Frankfurt in the wake of the Brexit vote.

The Japanese giant will register its core banking unit in the German city as it fears its UK subsidiary "could face future restrictions" once Britain leaves the European Union.

The company said the decision was made to "ensure that Sumitomo Mitsui Banking Corporation can continue offering banking services to clients with no disruption once the UK leaves the EU".

A company spokesperson said: "The purpose of this expansion is to increase the flexibility of SMFG's marketing and operations structure so that it can continue to offer financial services to its clients with no disruption following the planned withdrawal of the UK from the EU."

A number of banks have announced similar contingency plans.

This came after Prime Minister Theresa May confirmed Britain will ditch the single market, which would subsequently see City firms lose passporting rights for EU access.

Belfast Telegraph