London’s Financial Centre – True or False?
Decide which of the following statements about London and its financial centre are true
and which are false.
Statement
1. The London Stock Exchange is located in Paternoster Square.
2. Many financial-market businesses started to relocate from the
City of London to Canary Wharf in 1980.
3. There are around 300 banks with offices in the City of London.
4. Around 50% of the world’s total exchange of foreign currency
takes place in London.
5. London’s position as a financial centre started when the Romans
established London as a main trading venue in AD47
6. Around 200,000 people come to work in London’s financial
districts every day.
7. The Alternative Investment Market (AIM) is a stock exchange for
small firms established in 1995.
8. Around 18m ounces of gold and 108m ounces of silver are
traded daily on the London Bullion Market.
9. Most deregulation of the UK financial sector took place on
October 27th 1986 on a day described as the Big Bang .
10. The financial sector of the City of London runs an annual trade
surplus of $7bn.
True
False
London’s Financial Centre – True or False – Solutions
Statement
1. The London Stock Exchange is located in Paternoster Square –
the LSE relocated here in 2004
True
False
Yes
2. Many financial-market businesses started to relocate from the
City of London to Canary Wharf in 1980 – many firms started
their relocation in 1991
Yes
3. There are around 300 banks with offices in the City of London –
there are actually over 500, of which around 250 are foreign
banks
Yes
4. Around 50% of the world’s total exchange of foreign currency
takes place in London – on a daily basis, this is equivalent to
around £2.5trillion
Yes
5. London’s position as a financial centre started when the Romans
established London as a main trading venue in AD47
Yes
6. Around 200,000 people come to work in London’s financial
districts every day – the number is actually closer to 320,000
people
Yes
7. The Alternative Investment Market (AIM) is a stock exchange for
small firms established in 1995 – since its opening, it has helped
to raise over £24bn for over 2,200 companies
Yes
8. Around 18m ounces of gold and 108m ounces of silver are
traded daily on the London Bullion Market
Yes
9. Most deregulation of the UK financial sector took place on
October 27th 1986 on a day described as the Big Bang – this
move was regarded as one of Thatcher’s cornerstone policies
Yes
10. The financial sector of the City of London runs an annual trade
surplus of $7bn – the value is actually closer to $70bn
Yes