EU Says Passporting a Legal Consequence of Brexit

Commissioner Michel Barnier stated that Brexit will result in UK banks losing EU passporting rights, a key aspect of the single market. Banks have been preparing for this by setting up offices in Frankfurt. The UK aims for a comprehensive trade agreement including financial services. The discussion highlights the need to adjust Brexit terminology, considering options like equivalence and mutual recognition, which are less stable than full market access.

What are the potential alternatives to passporting mentioned in the discussion?

Why is the concept of equivalence considered fragile in the context of financial services post-Brexit?