The German finance minister has given the City a strong vote of confidence ahead of Brexit negotiations, saying it's in the EU's best interest that London remains a strong financial centre after Brexit.
Wolfgang Schaeuble said he would want to negotiate a deal in which the City remains a centre of finance as any move to send operations abroad would cause a huge upheaval.
"I am convinced that for Europe as a whole – and I'm not sure this will be very beloved in Paris – it's in our own interest to have a strong financial centre in London," Schaeuble said in a keynote speech at the Institute of International Finance Conference in Frankfurt.
Naturally, Schaeuble sold Frankfurt as an alternative for international banks looking for an EU base post-Brext, but he added London should keep a key role.
However, he said "brainstorming" with his British counterparts hasn't been easy.
Schaeuble's comments came during a conversation with UBS chair Axel Weber, who just yesterday hinted he may not wait until the end of Brexit negotiations to move up to 1,500 jobs out of London.
This echoed comments Schaeuble made earlier this year that London's financial centre benefits the European economy as a whole. He hinted a belief that London's merits should lead Europe to offer Britain a "reasonable" deal in Brexit negotiations.
He warned against "punishing" Britain for it's decision to leave the EU. "We want to keep Great Britain close to us," Schaeuble said.
Read more: Hurting the City will hurt the EU too