Business as usual: Chancellor Philip Hammond to take LSE boss on China trade mission
Chancellor Philip Hammond will this week lead a trade mission to China along with City representatives – including a senior executive from the London Stock Exchange (LSE) ahead of a crunch shareholder vote.
Hammond will be joined by HSBC chairman Mark Tucker, City of London Corporation policy chair Catherine McGuinness, and Square Mile grandee and former Treasury minister Lord Sassoon, who heads the China-Britain Business Council.
Likely topics for the dialogue between the two governments will include China’s massive Belt and Road infrastructure investment plan, green finance, and the internationalisation of the renminbi, China’s currency, according to a source familiar with the plans.
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A Treasury spokesperson said: “This week’s Economic and Financial Dialogue will see the next phase in the UK’s strengthening relationship with China as we continue to build an economy fit for the future.
“The UK has a huge amount of expertise to offer abroad,” the spokesperson added, while declining to comment on details of the talks.
The LSE’s chief executive, Nikhil Rathi, could also unveil an update to plans for the London-Shanghai Stock Connect programme, which would allow investors in the UK to buy Chinese shares and vice versa.
Rathi reports to the chief executive of the broader LSE Group, a post which has been left vacant since former boss Xavier Rolet was forced to resign last month after an activist investor unearthed tensions over the firm’s succession plan.
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The LSE Group has already started interviews for its new boss, the Financial Times reported today, with recruitment firm Egon Zehnder leading the search. However, the firm is understood to be looking for a chief executive who can continue the broad strategy pursued by Rolet. Interim chief executive David Warren is understood not to be in contention for the role.
While the firm is moving quickly to replace its chief executive, chairman Donald Brydon still faces a showdown with investor Sir Chris Hohn next Tuesday, with a vote on removing the chairman from the LSE Group board.
Brydon will have a chance to meet more shareholders on Wednesday, when he will host investors and guest speaker Nicky Morgan at the LSE’s annual lunch.
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