Leaving EU risks large City bill

Britain leaving the EU would do much harm to the City of London and inflict serious damage to the country’s prosperity, Standard & Poor’s has warned.

S&P is the latest rating agency to warn about the consequences if UK prime minister David Cameron fails to carry his in-out referendum on Britain’s continuing participation in Europe, which he has pledged to hold before the end of 2017.

A vote to leave the EU could cut the UK’s credit rating, rival ratings agency Moody’s warned this month.