The Limits of the City’s Structural Power: The City’s Offshore Interests and the Brexit Referendum
Given the apparent structural power of the City of London and Britain’s finance-led growth model, the decision by David Cameron to hold a referendum on Britain’s membership of the European Union (EU) appears paradoxical when the dominant firms in the City have a long-standing interest in participating in the European Single Market. This paradox can be explained by the historical relationship of the City to the British state in terms of the offshore currency interests of the City and the particular problems created for the Cameron governments in defending the City by the politicisation by the Eurozone crisis of the City’s status as the offshore financial centre of the euro.
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