A 10-minute walk from the Bank of England, on the eastern edge of the City of London, lies a gateway to a new shadow world of money. Here on Dukes Place is the office of Moorwand Ltd., one of a fast-growing breed of upstarts that bill themselves as alternatives to old-fashioned banks when moving money around the world. Each day in the U.K. alone, an estimated 1.4 billion pounds ($1.9 billion) courses through loosely regulated digital payments businesses like Moorwand, Bloomberg News reported.

Getting ahead in global finance after Brexit needs sustained British government impetus, the City of London's policy chief said on Wednesday, adding that COVID-19 may be masking some of the impact of leaving the EU, Reuters reported. Britain's financial sector lost most of its access to the European Union, which had been its single biggest export customer, after completing its exit from the bloc a year ago.

British consumers took on the most debt since July 2020 in the runup to Christmas, with a surge in borrowing on credit cards, Bloomberg News reported. Consumers added 1.2 billion pounds ($1.6 billion) to their unsecured debts in November, up from 828 million pounds in the previous month, Bank of England data published on Tuesday show. Economists had expected a gain of about 800 million pounds. The figures indicate strength in the economy in the weeks before the omicron variant of the coronavirus struck the U.K.

For 12 months, British businesses have been confronting the reality of the country’s decision to distance itself from its largest trading partner. Initially, the new system collapsed: Perishable goods got stuck at ports, retailers discovered their supply chains were obsolete and trucking companies stopped delivering to the whole island of Ireland. The worst of the problems (outside of Northern Ireland) eased after a few months. But what remains is a frustrating regime of higher costs, time-consuming customs paperwork and countless lost opportunities, the New York Times reported.

The British government has asked public sector managers to test their contingency plans against a worst-case scenario of 25% staff absence as part of efforts to minimise disruption from the rapid spread of the Omicron variant of COVID-19, Reuters reported. With daily infection numbers at a record high and people who test positive required to self-isolate for at least seven days, the government expects businesses and public services to face disruption in the coming weeks, it said in a statement.

Britain's markets watchdog said on Wednesday it will fine hedge fund BlueCrest Capital Management UK 41 million pounds ($54.50 million) for conflict of interest failings over a fund set up for BlueCrest staff, Reuters reported. Between October 2011 and December 2015, BlueCrest failed to manage fairly a conflict of interest created by switching portfolio managers working on a fund open to investors outside BlueCrest to an internal fund open only to its partners and employees, the Financial Conduct Authority said in a statement.

Britain announced 1 billion pounds ($1.3 billion) in grants and other aid to help the hospitality industry survive the onslaught of the omicron variant of COVID-19, bowing to days of pressure from pubs, restaurants and other businesses that complain public health warnings have torpedoed the vital Christmas season, the Associated Press reported. Businesses in the hospitality and leisure sectors in England will be eligible for one-time grants of up to 6,000 pounds ($7,954) each.

An independent watchdog will oversee the UK insolvency sector, ending decades of self-regulation, as part of a proposed government shake-up of the industry in the wake of a series of scandals, the Financial Times reported. The plans, published on Tuesday, would streamline the regulation of 1,600 licensed insolvency practitioners in England, Scotland and Wales by replacing the four professional bodies to which supervision is currently devolved.

U.K. debt costs are rising at the fastest pace since the aftermath of the global financial crisis, a potential headache for Chancellor Rishi Sunak as he faces pressure to spend more to help businesses weather the impact of the omicron variant, Bloomberg News reported. Figures published Tuesday showed interest payments made by the Treasury surged 54% between April and November, or by 15 billion pounds ($20 billion) to 42.9 billion pounds. That’s the biggest jump for the period since 2010.