London's global banking status challenged

Steve Davies talks to BBC London News

London's status as the finance capital of the world is being challenged as rival hubs threaten to push the city into third place by 2015, a market forecaster warns.

The Centre for Economics and Business Research (CEBR) predicts that job cuts and falling bonuses in the square mile will see cities including New York and Hong Kong take the lead.

Steve Davies told BBC London News that a reduction in economic activity in the City of London would have dreadful consequences, reducing the overal amount of money in the city and cutting jobs.

Watch the segment here.