Globalization, Hegemony and the Future of the City of London

This book gives a detailed account of the motivations behind the primacy of the City of London, both as a domestic actor and as a global financial centre. It focuses on whether the hegemonic position of the City of London can be threatened by the globalization process and how this relates to its role as an international money laundering centre. Cover 1 Half-title 2 Title 4 Copyright 5 Dedication 6 Contents 8 List of Tables 11 List of Figures 12 Introduction 14 1 British “Exceptionalism” and the City of London 19 Introduction 19 British “exceptionalism”: the origins of the debate 19 The historical origins of hegemony 24 The City–Industry divide from an historical perspective 30 What is the City of London? 39 Conclusion 45 2 The City of London and British Economic Policies: 1960s to 1980s 48 The City’s revival: commercial practices and parallel markets in the 1960s and 1970s 49 Monetarism and the City’s dominant position during the 1980s 53 The City’s reactions to the end of Thatcher’s monetarism in the late 1980s 62 1986–1987: the City Revolution 69 After the Revolution: the City’s concerns at the end of the 1980s 76 Conclusion 78 3 The City of London and the Process of European Monetary Integration 81 Introduction 81 The City’s competitiveness and British entry into the ERM 82 The Intergovernmental Conference on EMU: a view from the City of London 92 The departure of the pound from the ERM 102 After Maastricht: the City’s concerns over the position of the pound within the ERM 102 How did the markets and the British Government react to the criticisms to the ERM? 111 After Black Wednesday: the City’s and the British Government’s responses to the crisis of the ERM 115 Why did the UK not join the EMU? 120 Conclusion 125 4 Impact of the Global Financial Crisis on the City of London: The End of Hegemony? 127 Introduction 127 What happened? The global financial crisis 128 The case for the UK to join the EMU at the onset of the global financial crisis 134 The impact of the global financial crisis on the City of London 138 Toward a European or a global regulatory regime? 147 Conclusion 156 5 Globalization and the Future of the City of London: Enduring Hegemony 159 Globalization and the nation state: approaches in competition 159 Realism: the centrality of the nation state 161 Institutionalism: the transformation of the nation state 165 Transnationalism: the subordination of the nation state 169 Globalization and the City of London 173 Quantitative definition: the macro analysis. The inconsistent quartet and how the City gains from it 173 Quantitative definition: the micro-dimension. Domestic politics and interest group analysis: Who wins and who loses from financial globalization? 178 Qualitative definition: everything changes so that nothing will change? 184 Conclusion: the City’s hegemony continues! 191 6 Dirty City: Money Laundering and the City of London 193 How does financial globalization facilitate money laundering? 195 Money laundering in the UK and in the City of London 198 Anti-money laundering regulation 201 The UK record in the implementation of AMLR 204 The position of the City of London toward AMLR 207 Conclusion 214 Conclusion 215 Notes 222 References 240 Index 256 This book gives a detailed account of the primacy of the City of London, both as a domestic actor and as a global financial centre. It focuses on whether the hegemonic position of the City of London can be threatened by the globalization process and how this relates to its role as an international money laundering centre. The City of London has long been able to control British economic policy-making, and has taken the lead as a domestic actor as well as making its mark on global financial markets. This book analyzes the causes and consequences of this hegemony, and the implications that this has had for politics, socioeconomic interest groups, and the exceptional nature of British capitalist development. Dr. Talaniquestions the sustainability of this hegemony, discussing the threat of globalization and the impact that this has had on London's role as an international money laundering centre. The future of the primacy of the City is also debated in light of the recent global financial crises This book gives a detailed account of the primacy of the City of London, both as a domestic actor and as a global financial centre. It focuses on whether the hegemonic position of the City of London can be threatened by the globalization process and how this relates to its role as an international money laundering centre. The City of London has long been able to control British economic policy-making, and has taken the lead as a domestic actor as well as making its mark on global financial markets. This book analyzes the causes and consequences of this hegemony, and the implications that this has had for politics, socioeconomic interest groups, and the exceptional nature of British capitalist development. Dr. Talani questions the sustainability of this hegemony, discussing the threat of globalization and the impact that this has had on London's role as an international money laundering centre.The future of the primacy of the City is also debated in light of the recent global financial crises The City of London has long been able to control British economic policy-making, and has taken the lead as a domestic actor as well as making its mark on global financial markets. This book analyzes the causes and consequences of this hegemony, and the implications that this has had for politics, socioeconomic interest groups, and the exceptional nature of British capitalist development. Dr. Talani questions the sustainability of this hegemony, discussing the threat of globalization and the impact that this has had on London's role as an international money laundering centre. The future of the primacy of the City is also debated in light of the recent global financial crises Dr Talani questions the sustainability of this hegemony, discussing the threat of globalization and the impact othat this has had on London's role as an international meny laundering centre. The future of the primacy of the City is also debated in light of the recent global financial crises