£600billion UK Exodus Fears as AstraZeneca Heads to New York
Analysts have warned of a potential £600billion exodus of major UK companies from the London Stock Exchange to the US, which could be detrimental to the London market's reputation. AstraZeneca's recent announcement of a full listing in New York has sparked fears of a permanent move, with other companies considering following suit.
A total of ten major UK companies, with a combined value of £620billion, are at risk of moving their main listings to New York. AstraZeneca, Shell, BP, and Rio Tinto are among those considering the switch. Miners Glencore and Anglo American have ruled out moving to New York, but an exodus of other companies could change their minds. The move could be driven by higher valuation premiums, deeper and more liquid capital markets, fewer regulatory hurdles, and increasing tensions between the UK government and businesses.
The potential exodus of UK companies to the US is a significant concern for the London Stock Exchange. If major companies like AstraZeneca, Shell, and BP leave, it could damage the market's reputation and lead to further departures. The UK government and the London Stock Exchange must address the issues driving this potential exodus to prevent a £600billion loss.
