25 September 2008
London’s and New York’s lead cut in Global Financial Centres
Index
London and New York, the world’s top financial centres, both
score lower in the 4th Global Financial Centres Index (GFCI) than
in the 3rd published six months ago – even though the rating takes
no account of events since July 2008.
In the report published today by the City of London Corporation,
London scores 791 out of a possible 1,000 points, down four points
on March 2008, and New York scores 774, a fall of 12 points.
Nevertheless, based on responses collected before the latest phase
in the global financial turmoil, both remain well ahead of the
competition in first and second place respectively.
The GFCI tracks the underlying competitiveness of the world’s
financial centres rather than offering a view on the latest tempest
in a series battering world-wide financial services.
Future reports are likely to give the sector’s response to the
on-going situation.
As in previous GFCI reports, respondents rated the quality
of the business environment – especially regulation and taxation –
as the most important factor for a centre’s competitiveness. The
availability of good staff was the next most important issue.
The GFCI is published every six months by the City of London
Corporation. The rankings are compiled by Z/Yen Group from surveys
of finance professionals around the world and competitiveness
indicators. The survey responses were collected between February
and July 2008.
Stuart Fraser, Chairman of the Policy and Resources Committee of
the City of London Corporation, said:
“Even though this research is based on the early part of the
year it shows that by that time the unprecedented credit crunch had
already dented the reputation of the world’s leading financial
centres, London and New York.
“Now more than ever the long-term task will be to rebuild trust,
particularly in our tax and regulatory regimes. There are no
easy answers and there must be no knee-jerk reactions”.
“GFCI tracks the fundamental competitiveness of financial
centres and I’m confident that London and New York will remain the
only two truly global financial centres. But our response to the
current turmoil will be critical.
“While the GFCI reports do not respond to the immediate issues,
they are an important baseline tracker of underlying issues.
Whatever the new financial services world looks like, the role of
taxation, skills, infrastructure – and of course supervision – will
remain key.”
The full ranking of the top 59 centres is at :
www.cityoflondon.gov.uk/researchpublications
Ends
Notes to editors
- Download GFCI-4
- Download Appendix A
(Methodology), Appendix B (Questionnaire) and Appendix C
(instrumental factors)
- About the City of London: 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, 10,000 acres of open space
including Hampstead Heath and Epping Forest, three wholesale food
markets, as well as acting as the London Port Health
Authority.
- About Stuart Fraser: Stuart Fraser is Chairman of the
Policy and Resources Committee of the City of London Corporation.
View his biography.
Download a photo of Stuart Fraser
Press enquiries
Laura Citron in the City of London press office, 020 7332 1835
or 07784 295 736 or
laura.citron@cityoflondon.gov.uk.