BoE's Cunliffe: Conceivable that global markets in London will shift to EU but not likely

"It is conceivable that global markets in London will shift to the European Union," Bank of England (BOE) Monetary Policy Committee (MPC) member and Deputy Governor Sir Jon Cunliffe said on Tuesday but noted that this was unlikely.

"We need deep supervisory cooperation on both sides of the UK and the EU," Cunliffe added in a speech given at the German Economic Council Annual Finance Conference. "It is important that the EU/UK supervisory agreements are stable given systemic importance."

GBP/USD reaction

The GBP/USD pair inched higher following these remarks and was last seen trading at 1.2930, adding 0.13% on a daily basis.