Over the past 60 years, the City of London has continued to cement its dominant position, boosted by stringent US regulatory requirements and tax regulations in the 1950s and 1960s, Britain joining the European Community in the 1970s, the Big Bang of the 1980s under Margaret Thatcher and the controversial “light touch” approach adopted by the UK Financial Services Authority around the turn of the millennium.
The Eurodollar and Eurobond markets were born in London, international – especially US – banks relocated, securities trading business expanded and, later, London went on to become a centre for – partly contentious – financial innovations. However, in the period of recovery following the financial crisis, the City of London demonstrated its power of innovation.