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‘Turning point’: EU and UK strike deal to boost financial cooperation

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‘Turning point’: EU and UK strike deal to boost financial cooperation

The European Union and the United Kingdom on Tuesday signed an agreement, long-awaited for by London, to boost cooperation on financial services.

The agreement will establish a forum through which the two sides will discuss voluntary regulatory cooperation on financial services issues.

Jeremy Hunt, the British finance minister and Mairead McGuinness, European Commissioner for financial services, signed the Memorandum of Understanding (MoU) in Brussels.

McGuinness told reporters that although the UK is no longer in the EU, “we still share many of the same issues and challenges like fighting financial crime, supporting sustainable finance and enabling digital finance. So it’s really positive that we’ve had this structured cooperation in place.”

Hunt, meanwhile, said the UK is “absolutely delighted” with the MoU. “We also see it as an important turning point. We have a shared interest in global financial stability.

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“The UK is the biggest financial services sector in Europe and we have a particular responsibility to work closely with the EU to make sure that both sides are doing more, to make sure that we have that stability that is so important.

“We see this very much as not the end of the process, but the beginning,” he added.

The aim is for the forum to meet bi-annually with the first meeting scheduled in the autumn.

A spokesperson for the European Commission stressed however that the forum “does not restore UK access to the European Union”.

The financial services sector is hugely important for the British economy with the sector contributing £173.6 billion (€201 billion) in 2021, equivalent to over 8 per cent of total economic output.

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The country’s exit from the EU, finalised in January 2020, had stoked fears that London’s place as a leading global hub for financial services could be weakened by more restricted access to the EU.

But the impact has been more muted than anticipated as key regulatory frameworks, including equivalence for central clearing activities used to mitigate financial risk, have so far remained in place

The European Commission has already stated that it wants to have more clearing activities take place in the EU in order to end an over-reliance on UK-based services.

According to the British government, of the £11 trillion (€12.8 trillion) of assets managed in the UK in 2020, around 44 per cent was on behalf of international investors including the EU.

“The UK and EU’s financial markets are deeply interconnected and building a constructive, voluntary relationship is of mutual benefit to us both,” Hunt said in a statement.

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The MoU will also allow Brussels and London to boost dialogue and cooperation on joint challenges and ahead of key international meetings including the G7 and G20. 

It is the latest sign that relations across the Channel have thawed since a deal was struck in February to resolve tensions over the Northern Ireland Protocol, which had poisoned ties for three years.

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Cartier owner Richemont posts 10% increase in Q3 sales

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Cartier owner Richemont posts 10% increase in Q3 sales
Cartier jewellery owner Richemont on Thursday reported a 10% increase in constant currency sales during the three months to the end of December, a strong early indicator for the performance of European luxury companies over the all-important holiday season.
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Ancient Pompeii excavation uncovers lavish private bath complex

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Ancient Pompeii excavation uncovers lavish private bath complex

Archaeologists have unearthed a lavish private bath complex in Pompeii, highlighting the wealth and grandeur of the ancient Roman city before it was destroyed by Mount Vesuvius in AD 79, the site said on Friday.

The baths, featuring hot, warm and cold rooms, could host up to 30 guests, allowing them to relax before heading into an adjacent, black-walled banquet hall, decorated with scenes from Greek mythology.

ITALY’S ANCIENT POMPEII PARK CRACKS DOWN ON DAILY VISITORS TO COMBAT OVERTOURISM

The pleasure complex lies inside a grand residence that has been uncovered over the last two years during excavations that have revealed the opulent city’s multifaceted social life before Vesuvius buried it under a thick, suffocating blanket of ash.

A central courtyard with a large basin adds to the splendour of the house, which is believed to have been owned by a member of Pompeii’s elite in its final years.

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“This discovery underscores how Roman houses were more than private residences, they were stages for public life and self-promotion,” said Gabriel Zuchtriegel, director of the Pompeii Archaeological Park.

The private thermal baths complex discovered by archaeologists in a villa of the ancient city of Pompeii is seen in Pompeii, Italy, in this undated handout picture released on January 17, 2025.  (Pompeii Archeological Park/Ministry of Cultural Heritage and Activities and Tourism/Handout via REUTERS )

Zuchtriegel said the layout recalled scenes from the Roman novel “The Satyricon”, where banquets and baths were central to displays of wealth and status.

Decorated with frescoes, the complex draws inspiration from Greek culture, emphasizing themes of leisure and erudition.

“The homeowner sought to create a spectacle, transforming their home into a Greek-style palace and gymnasium,” Zuchtriegel said.

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The remains of more than 1,000 victims have been found during excavations in Pompeii, including two bodies inside the private residence with the bathhouse – a woman, aged between 35-50, who was clutching jewellery and coins, and a younger man.

The discovery of their bodies was announced last year.

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‘Fields were solitary’: Migration raids send chill across rural California

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‘Fields were solitary’: Migration raids send chill across rural California

Los Angeles, California — Recent raids carried out by the United States Customs and Border Protection (CBP) in a rural California county have struck fear into immigrant communities as President-elect Donald Trump prepares to return to the White House.

CBP says that the operation in Kern County, which took place over three days in early January, resulted in the detention of 78 people. The United Farm Workers (UFW) union says it believes the number is closer to 200.

“The fields were almost solitary the day after the raids,” a 38-year-old undocumented farmworker named Alejanda, who declined to give her last name, said of the aftermath.

She explained that many workers stayed home out of fear. “This time of year, the orchards are usually full of people, but it felt like I was by myself when I returned to work.”

The raids are being seen by local labourers and organisations like UFW as a shot across the bow from immigration enforcement agencies before Trump’s inauguration on Monday.

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His second term as president is expected to ring in a new era of enhanced restrictions and deportation efforts.

While the number of people arrested represents a small fraction of the hundreds of thousands of undocumented workers underpinning California’s agricultural sector, the anxieties caused by such raids extend far beyond those detained.

“On Wednesday [the day after the raids], I stayed home from work. I barely left my house,” said Alejanda, adding that she kept her five-year-old son home from daycare rather than risk driving to drop him off.

“Everyone is talking about what happened. Everyone is afraid, including me. I didn’t actually see any of the agents myself, but you still feel the tension.”

Emboldened agencies

Following a presidential campaign where he routinely depicted undocumented migrants as “criminals” and “animals”, Trump will likely try to fulfill his promise to carry out the “largest deportation programme” in the country’s history on his first day in office.

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About 11 million people live in the United States without legal documentation, some of whom have worked in the country for decades, building families and communities.

The January arrests in Kern County appear to be the first large-scale Border Patrol raid in California since Trump’s victory in the November election, which set off speculation about the potential impact of mass deportations on immigrant communities and the economic sectors dependent on their labour.

About 50 percent of California’s agricultural workforce is made up of undocumented immigrants.

In California, undocumented status has been cited as a source of persistent anxiety for workers — as well as a means of leverage for employers, who often pay such labourers lower wages and grant them fewer protections in the fields.

But Alejanda says that workplace raids like the ones that took place in Kern County have not been common in the area.

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“I have been here for five years and never experienced anything like this before,” she said, noting that workers were detained while leaving the fields to go home.

CBP said in a statement that the operation, named “Return to Sender”, had targeted undocumented people with criminal backgrounds and connections to criminal organisations.

The raids were carried out by agents from the CBP El Centro Sector, located near the border between Mexico and southern California, more than five hours by car from the site of the raids.

“The El Centro Sector takes all border threats seriously,” Chief Patrol Agent Gregory Bovino said in a press release. “Our area of responsibility stretches from the US/Mexico Border, north, as mission and threat dictate, all the way to the Oregon line.”

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Antonio De Loera-Brust, a spokesperson for UFW, said that the operation shows that agencies like CBP are likely to become more aggressive as Trump takes office.

He also disputed CBP’s characterisation of the raids as focused on people with criminal records, saying that the operation cast a wide net and profiled people who looked like farmworkers.

Two of those arrested were UFW members, whom the organisation described as fathers who had lived in the area for more than 15 years.

“By operating over 300 miles north of the Mexican border, and apparently conducting this untargeted sweep based on profiling on their own initiative and authority, Border Patrol has shown itself to be clearly emboldened by a national political climate of hostility towards hard-working immigrant communities,” De Loera-Brust told Al Jazeera.

“It’s certainly deeply concerning that this sort of operation could be the new normal under the incoming Trump administration.”

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