Bringing businesses to the Netherlands
The United Kingdom’s planned withdrawal from the European Union is leading businesses to expand to the Netherlands. The country is taking a pro-active approach to dealing with this influx and has given Netherlands Authority for the Financial Markets (AFM), one of its two financial regulators, a larger budget to help it stay on top of the situation. Brexit has also boosted Amsterdam’s growing fintech scene, which consists of over 400 companies, including bunq, Currence and Avanto Ventures.
The Netherlands is also likely to become home to a large portion of Europe’s stock and bond trading, as Brexit will force companies to conduct business from within the EU. So far, several dozen financial firms, most of which specialise in trading, have applied for licenses to operate in the Netherlands.
Meeting a growing demand for services
The relocation of financial firms from the UK will dramatically increase the Netherlands’ share of European equity trading from five per cent to roughly one third of the total. Additionally, the country is expected to control 90 per cent of European bond trading due to Brexit, according to AFM.
However, acquiring new staff members could be challenging. The Dutch financial industry has a low unemployment rate and banks are demanding many new workers. In fact, the three largest lenders in the Netherlands need hundreds of new hires to work in compliance and help them meet stringent money laundering codes resulting from the Danske Bank A/S scandal.
Some companies are prepared to lead the search for talented people, though. For example, Startupbootcamp, which helps tech founders rapidly scale their early-stage companies, offers a fintech and cybersecurity track that provides students with valuable training. The programme enjoys the support of many industry leaders, including ABN AMRO, ING and Rabobank, and may help provide the Netherlands with the skilled professionals it needs.
Read more of the latest business news from around Amsterdam, or learn about the city’s rapidly-growing fintech scene.