LONDON (Reuters) - Europe’s banks and brokers could be facing a Brexit “point-of no-return” with key financial contracts as soon as March, one of Germany’s top central bankers said on Tuesday.
Bundesbank board member Andreas Dombret, who oversees regulatory issues for the German central bank, was talking about the changes sparked by Brexit requiring hundreds of thousands of contracts to be re-written - a process known as “re-papering”.
“For the banks, once they start re-papering it is the point-of-no-return and that will happen in the first half of next year maybe even in the first quarter of next year,” Dombret said at conference organised by banking trade association, UK Finance.
He added the issue was bigger especially for longer-term contracts.
Reporting by Marc Jones, editing by David Evans