We Europeans are taking over London's financial sector. Why?

It can't be the weather.

When I arrived in London two years ago it was raining, it was grey and it took me a quarter of an hour to change from the Bakerloo to the Hammersmith and City line in Paddington, without using an iPhone map. This was the area where I had booked my hotel, the night before my job interview. Now I think of Paddington as the purgatory of London, where enterprising Europeans find a cheap hotel to transform themselves from tourists still excited about the idea of going to Oxford Street into proper unexcitable Londoners.

The morning of the interview it was raining, it was grey and I had no idea of how to turn the pages of the Financial Times without killing my seat-neighbour. I still wonder why a newspaper mostly read by people going to the City on the tube is engineered to be so tube-unfriendly.

The interview went well, I guessed what team the manager supported and I did understand his foreign Northern England accent. What really struck me, though, was his last request: you will start on Friday, and here we have dress-down Friday. “Oh great, thank you”. I had no idea what that meant. How badly do you have to dress on a dress down Friday? What’s a dress code? It was a concept beyond "Continental" business language. In Italy the only rule is to dress better than anyone around you, unless you are a journalist. In other Northern countries the rule is to dress worse than anyone around you, especially if you are a journalist.

So there I was, having done my best to be completely dressed down on my first day of work in this country, while outside it was raining and the sky was grey. It was July and I still believed Summer existed.

It didn’t really matter. There was something in that British rain that called me and many privileged migrants to this city that continuously absorbs millions of lives in the innards of the tube to then expel them into a world of dressed up business people.

I didn’t know Italy, France and Spain had such a large population until I came to London. Italians have even overtaken Russians as first buyers of prime London properties, according to agency Knight Frank, with many of them working in finance. Some say that London is the sixth largest French city, with some 300,000 Napoleonic citizens.

So why are we all here? This is the question I am trying to answer.

The latest UK unemployment figures show that the jobless total has decreased to 2.51 million, while the number of people in work has risen by 24,000 in the three months to April.

These figures are better than in many other European countries, but they are not enough to explain the appeal of this country and its capital to many highly educated and experienced Europeans.

I left my secure Euro-welfearised job to come here. Was it for the money? Not at all: in London you dream about earning more money, so that you can spend it on a hideously expensive rent.

My contract is much weaker compared to my Italian one. But when I meet with my friends on Sunday at "our" pub in Pimlico nobody seems to be too bothered about the easiness with which that contract can be broken. This lightness – in the back of our mind – is part of the attraction. It’s what makes things move in an era where speed is the key factor and the economy is less and less made of tangible goods. It’s – and this is where part of the calamite-effect comes from – the possibility to accept new energy. Looking at the faces sitting around that pub I hear lots of languages – or lots of ways of speaking English - and one thing becomes clear: to be a real Londoner you cannot be really from London. You have to be like wind, and become part of the energy that flows into the city. The capital of the country is a huge vase that contains people who left their roots but have found a way to grow. And it is not only for its geographical position that London has become such a crucial centre for finance, a world based on volatility, on speed, on risk and on what is defined in opposition to the "real" economy.

Will the appeal and the energy of this country collapse as a Lehman Brothers dream?

Two years later, 457 Costa coffees, some warm beers and many typically British curries later, outside it’s raining and the sky is grey. I believe Summer exists only on the Central line, not in real life. At the pub we complain about the weather, the NHS and the bad wine, which as soon as it arrives in England becomes sad, expensive and 10 times less good. Many know that a life here has its risks and shortcomings, but the bet has been successful so far. Keep the umbrella in your handbag, and it will be a sunny day.

Photograph: Getty Images

Sara Perria is the Assistant Editor for Banking and Payments, VRL Financial News

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Geoffrey Howe dies, aged 88

Howe was Margaret Thatcher's longest serving Cabinet minister – and the man credited with precipitating her downfall.

The former Conservative chancellor Lord Howe, a key figure in the Thatcher government, has died of a suspected heart attack, his family has said. He was 88.

Geoffrey Howe was the longest-serving member of Margaret Thatcher's Cabinet, playing a key role in both her government and her downfall. Born in Port Talbot in 1926, he began his career as a lawyer, and was first elected to parliament in 1964, but lost his seat just 18 months later.

Returning as MP for Reigate in the Conservative election victory of 1970, he served in the government of Edward Heath, first as Solicitor General for England & Wales, then as a Minister of State for Trade. When Margaret Thatcher became opposition leader in 1975, she named Howe as her shadow chancellor.

He retained this brief when the party returned to government in 1979. In the controversial budget of 1981, he outlined a radical monetarist programme, abandoning then-mainstream economic thinking by attempting to rapidly tackle the deficit at a time of recession and unemployment. Following the 1983 election, he was appointed as foreign secretary, in which post he negotiated the return of Hong Kong to China.

In 1989, Thatcher demoted Howe to the position of leader of the house and deputy prime minister. And on 1 November 1990, following disagreements over Britain's relationship with Europe, he resigned from the Cabinet altogether. 

Twelve days later, in a powerful speech explaining his resignation, he attacked the prime minister's attitude to Brussels, and called on his former colleagues to "consider their own response to the tragic conflict of loyalties with which I have myself wrestled for perhaps too long".

Labour Chancellor Denis Healey once described an attack from Howe as "like being savaged by a dead sheep" - but his resignation speech is widely credited for triggering the process that led to Thatcher's downfall. Nine days later, her premiership was over.

Howe retired from the Commons in 1992, and was made a life peer as Baron Howe of Aberavon. He later said that his resignation speech "was not intended as a challenge, it was intended as a way of summarising the importance of Europe". 

Nonetheless, he added: "I am sure that, without [Thatcher's] resignation, we would not have won the 1992 election... If there had been a Labour government from 1992 onwards, New Labour would never have been born."

Jonn Elledge is the editor of the New Statesman's sister site CityMetric. He is on Twitter, far too much, as @JonnElledge.