Government representatives from Luxembourg told Reuters July25 that the Grand Duchy has no intention of competing against the City ofLondon and wooing financial firms jittery about being based in the U.K.following the country's vote in late June to leave the EU. Instead, Luxembourgwants to work with the U.K. to forge a mutually beneficial relationship.

Unlike, for example, France, which is U.K. financial institutionsto move their bases to EU member countries, Luxembourg sees itself becoming abeachhead for U.K. financial institutions, Reuters wrote, citing interviewswith Luxembourg's deputy Prime Minister Etienne Schneider and Finance MinisterPierre Gramegna. At the same time, Luxembourg is opposed to granting the U.K.firms permission to continue having the same access rights to the EU's singlemarket as it had before the referendum.