City growth boosts UK financial services trade surplus to £62bn

The City of London's growth has helped Britain's financial services trade surplus in 2014 to rise to £62 billion.

London's financial district has been a key player in making the UK the world's biggest exporter of financial services.

UK recorded a trade surplus in financial services of £62 billion in 2014, it's highest ever, according to TheCityUK.

With other related professional services - such as accountancy, legal services and management consultancy - taken into account, the figure rose to £71 billion, helping to offset the increasing trade in goods deficit see in the UK economy.

Chief executive for TheCityUK Chris Cummings said the growth of the financial services industry's trade surplus is a "direct reflection" of the UK's global strength in this area.

"Our largest trading partners are the US and other EU Member States, but emerging economies, such as China, the UAE and India as well as other international financial centres such as Hong Kong and Singapore also feature prominently in UK trade," he explained.

The trade surplus for financial services rose four per cent year-on-year in 2014, meaning has roughly doubled compared to ten years ago. Such is the strength of the City in this area that this is more than the combined figure for the next three leading nations - the US, Switzerland and Luxembourg.

TheCityUK's report also highlighted other areas of strength for the UK's financial hub. It is home to over 250 foreign banks, more than any other financial centre globally, while it is also the leading centre for international bond trading.

However, Mr Cummings warned against complacency, noting the City will only remain dominant if foreign investors continue to find it attractive.

"This government should continue to implement bold and ambitious policies that will support its greatest tax paying sector – the financial and related professional services industry – and ensure it remains competitive in the global market," he urged.