London remains the world’s leading centre for foreign exchange (FX) trading, handling around 38 per cent of all global currency turnover. This means that more currency trading happens through London than in any other financial hub combined, including New York, Singapore and Hong Kong. London also trades twice as many US dollars as the United States itself and has become the largest offshore hub for renminbi trading, with over 43 per cent of such transactions taking place there.
This dominance is important for London and the UK for several reasons. First, it reinforces London’s status as a global financial centre, attracting banks, brokers, asset managers and fintech firms to base their operations in the city. A high share of global FX turnover supports a broad ecosystem of well-paid, highly skilled jobs in trading, risk management, technology and professional services.
Secondly, FX trading contributes significantly to the UK’s financial services trade surplus. Strong performance in FX and related markets helps the UK export financial expertise and services around the world, boosting tax revenues and supporting public services.
Thirdly, London’s position brings broader economic benefits. The concentration of global currency markets promotes investment in infrastructure, innovation in financial technology and international connectivity, strengthening the UK’s competitive position globally.
Overall, London’s leading role in foreign exchange underlines the UK’s continued importance in global finance and supports jobs, exports and economic resilience.
