Italians have make tax changes to tempt fund company executives and portfolio heads. The Italian financial hub hopes that up to 1,500 asset management and investment banking jobs will move from London.
Now Select Milano, a government-sponsored lobbying group, is increasing its efforts despite the potential for more political upheaval in the Italian general election in March.
Fabrizio Pagani, chief of staff in Italy’s finance ministry, said he was being realistic in not expecting big companies to make wholesale moves to Italy.
He said, however: “We think Milan has every chance to get its share if there is a diaspora from London.”
He pointed to the fact that Milan missed out on gaining the European Medicines Authority only by the drawing of straws as a sign that the city could compete in attracting post-Brexit business.
The Italian government changed its personal tax regime last year to try to lure high-earning expats.
Mr Pagani said this was partly designed with fund company executives and portfolio managers in mind. Incentives include a 50 per cent reduction on income tax for five years for middle managers and a flat €100,000 annual tax on foreign earnings for wealthy individuals, which lasts for 15 years.
“In speaking to people there are two main points of consensus: London will remain important and that there will not be a ‘new London’ post Brexit,” said Mr Pagani.
“There will be a wide spread of finance centres. It will be much like the 1990s where we had trading centres in different countries.” [...]
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