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London’s Start-Ups Seek Relocation to Berlin Following Brexit

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英国脱欧,伦敦初创企业试图迁往柏林 London startups have already made inquiries about moving to Berlin since the Brexit referendum, stated Berlin Partner, a German business development group.

“The most concrete inquiries are coming from London financial technology firms, who are considering a move to Berlin so as not to lose access to the European single market,” said Stefan Franzke, Berlin Partner Director, at a news conference that took place on Monday.

Over the course of the past week, Berlin’s senate has approached hundreds of London-based businesses to persuade them to switch their operations to Berlin. Unless they do so, warned the letter received by these companies, they will lose the money of the European Investment Fund once Britain leaves the EU. In 2015 alone, the UK received EUR655.8m (GBP559m) from EIF.

Now, Berlin’s government plans to benefit from the apparent panic in the FinTech sector, and will open a London office in September to assist startups with relocation to the continent. However, Berlin is not alone, and other major European cities will try to attract UK startups willing to enjoy EU investments, as well as foreign businesses previously considering London as a potential location.

“The outcome of the EU referendum is bad news for London and for FinTech, it’s not what we wanted,” said Rajesh Agrawal, Deputy Mayor of London and a FinTech entrepreneur himself. “We are very clear about what we need. We need access to the EU single market and protection of our passporting rights.”

Berlin’s startup scene has already overtaken London. According to the DSM (Deutscher Startup Monitor), in 2015 Berlin attracted EUR2.1b in venture capital investment. Talented international developers flock to Berlin, enjoying favorable immigration laws, lower rents and a world-famous party scene.

On 16 September 2016, the Coller Institute of Venture will hold a cocktail party and a research award ceremony at ESMT Berlin, home of the German Tech and Entrepreneurship Center. Join us to celebrate at the venture capital hub of Europe, and submit your venture research papers to win a $10,000 award.

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