Chancellor Rishi Sunak announced the UK will negotiate a financial services trade agreement with Switzerland to ensure firms in both countries can continue to access each other’s markets after the Brexit transition.
Mr Sunak said the countries were signing a joint statement committing them to talks on mutual recognition of banks, insurers, asset managers and capital markets.
Swiss banks Credit Suisse and UBS have major operations in London and nearly half of all Swiss financial services imports are from the UK.
Following the expiry of the Brexit transition at the end of December, the UK will lose the benefit of existing arrangements between the EU and Switzerland, which is not a member of the bloc.
The UK is keen to enter fresh bilateral agreements to protect its position as a leading global financial services hub.
Mr Sunak said: “I think we’ve both learned in recent years of the dangers of market fragmentation, and that unilateral approaches to trade in financial services just don’t work.”