Free Republic

Europe stepped up preparations for a no-deal Brexit on Monday after giving key parts of the City of London temporary access to EU customers in the event of a cliff-edge departure. The European Securities and Markets Authority, the EU financial regulator, has granted three UK-based clearing houses — LCH, ICE Clear Europe and LME Clear — licences to carry on doing business with European-based customers over the next 12 months even if politicians fail to strike an agreement. London dominates clearing for derivatives traded by European customers and clears nearly all over-the-counter derivatives, mainly interest-rates swaps, traded in euros. Clearing...

The London Stock Exchange (LSE) has agreed merger terms with German stock exchange operator Deutsche Borse. LSE said in a statement on Wednesday that both parties "have reached agreement on the terms of a recommended all-share merger of equals." The deal will be done through a new UK holding company. LSE shareholders will own 45.6% of the new merged companies while Deutsche Borse investors will hold the rest. The deal is one of the biggest market tie-up in decades, creating a new company with a likely market capitalisation of at least £20 billion.

People will be offered the chance to buy shares in Royal Mail in the next 12 months, ministers have told MPs. The formal announcement from Business minister Michael Fallon starts the clock on what is set to be the biggest privatization for over 20 years. … Royal Mail is expected to raise between £2 billion ($3.1 billion) and £3 billion ($4.6 billion) when it is privatized. Any selloff will rival the “Tell Sid” privatizations of British Gas and BP in the mid-1980s Thatcher government. …