FCE Bank, the captive finance arm of Ford, is considering applying for a German banking license in addition to its current British one due to uncertainties surrounding passporting after Brexit.
FCE Bank is a UK registered bank. Under EU rules, financial companies such are able to conduct business in other member states in what is known as passporting, meaning FCE Bank is able to operate in a number of European territories.
Britain is now looking to leave the EU and, as things stand, it is unclear if passporting rules will exist between Britain and the EU following Brexit, and if so in what form.
As a result, a spokesperson for Ford Credit told Motor Finance: “Ford Credit is conducting a study which may lead to potentially applying for a German banking license in addition to its UK license.”