13 June 2007
City of London Lord Mayor puts Scottish finance firms at heart
of UK success
Firms based in Scotland are helping the UK keep its No 1 placing
in the world financial services league and 200,000+ jobs in
Scotland are tied to that continuing success, says the City of
London Lord Mayor John Stuttard.
Stuttard today (Wednesday 13 June) spends a day with top firms
in Edinburgh, ending with a dinner with the Glasgow Lord
Provost.
Lord Mayor Stuttard, the ambassador for all UK-based financial
services, travels the world promoting links with fast-growing
countries. He said:
"Edinburgh and Glasgow are as much part of the Square Mile as
Lloyds’, Canary Wharf and the West End wealth managers: we share
the same regulator, our businesses are closely connected, and we
often face the same issues and problems.
"Financial services continues to be one the fastest growing
sectors of the Scottish economy. From 2000 to 2006 the financial
services industry in Scotland grew by 55% while the overall
Scottish economy grew by 13% and the UK financial services industry
as a whole grew by 44% in the same period - that's how important it
is.
"At least 7% or £7bn of Scottish GDP is generated by financial
services which themselves account for 10% of all Scottish jobs.
That's over 108,000 people employed directly and over 100,000 more
in support services.
"Scotland is a key European hub and only second to London in the
UK; it has unique and complementary strengths such insured
pensions, where manages a staggering 55% of the UK's total."
Amanda Harvie, CEO of Scottish Financial Enterprise said funds
under management in Scotland by SFE member companies totalled £580
billion (not counting the funds SFE member companies managed from
other locations around the world):
The Lord Mayor said Scotland had distinguishing strengths in
banking, life assurance & pensions, investment management and
asset servicing; also strengths in general insurance, corporate
finance & broking services, and a strong community of
professional advisors and support services
"However the threats to the sectors’ competitiveness – and these
key jobs – are strong and London and Scotland need to work
together. In today’s global marketplace what happens in Asia today
will affect jobs in Edinburgh and in the Square Mile tomorrow.
Stuttard, who spends nearly 90 days a year taking business
delegations to two dozen countries to promote UK-based financial
business abroad, said Scotland-based firms were as much a part of
the team as UK, US or continental firms.
“The only thing that matters is that a firm has significant
operations in the UK and employs staff here.”
On Wednesday the Lord Mayor will have meetings with Scottish
Financial Enterprise and a range of financial and business firms
including the Royal Bank of Scotland , Standard Life, Noble Group,
Morgan Stanley, ASA International and others.
A key part of the day was a roundtable on post-university
high-level skills training with SFE and the Securities and
Investment Institute.
Lord Mayor Stuttard underlined the key role of Edinburgh and
Scotland in the UK's world-winning financial services industry.
Royal Bank of Scotland Group was the world's fifth largest bank and
a major player on the international scene, he said.
He said financial services were even more important to the Scottish
economy that they are to the UK economy and keeping close to
Scotland was key for City of London Lord Mayors.
Ends
Notes to editors
The City of London provides local government services for the
Square Mile, the financial and commercial heart of Britain and is
committed to maintaining and enhancing the status of the business
City as the world's leading international financial and business
centre through its policies and services. Its responsibilities also
extend far beyond the City boundaries and include management of the
Barbican Centre, Central Criminal Court at the Old Bailey, Epping
Forest, Hampstead Heath, three wholesale food markets, as well as
acting as the London Port Health Authority.
Contact: Greg Williams: direct 020 7332 1455; mobile 07889 167
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