EU agrees new financial supervision bodies
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The European Commission and European Union member states have agreed reforms to financial supervision.
From next year agreement has been reached to create agencies to oversee banks, insurers and financial markets.
The deal still needs confirmation by EU finance ministers and the European Parliament.
There will be new EU supervisory authorities with the European Systemic Risk Board should be up and running by the ened of January 2011.
When making warnings or reccomendations on risk building up, the ESRB is to use a colour grading system to indicate the level of risk.
The European Parliamnet will have a veto of the chairman of any new bodies.
Vicky Ford, MEP and Conservative economic and monetary affairs spokesman, took part in the negotiations and says that the new structures will protect consumers from the types of cross-border crises experienced over the last three years.
She says: “At the same time national governments and national regulators keep their frontline responsibility to protect national tax payers’ interests.
“This agreement has been reached in principle but this is very complex multi-layered legislation and it needs to be checked by legal experts over the coming days.
“It is a pragmatic compromise. Now let’s put it into action.”
A government spokeswoman says: “Subject to final confirmation by ministers next week, this is a very good outcome for the UK, fully reflecting the priorities secured by the chancellor of the exchequer in July at ECOFIN”.
Readers' comments (4)
chris gardner | 3 Sep 2010 11:07 am
Oh good. Well thats that sorted then. We can all sleep easy now.
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Anonymous | 3 Sep 2010 2:55 pm
Another pile of our cash for the European Gravy Train to waste...
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Debbie | 3 Sep 2010 4:01 pm
If the proposed legislation is that complex and multi-layered that the EU needs legal experts to spend days checking it, how will most companies have any idea whether they are complying with it or breaking it?
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Johnny 5 | 5 Sep 2010 12:24 pm
ah well, since we're in the gallows what difference another set of regulations going to make hey? existing rules dont make sense anyway so let the crap role in.
Its the age when common sense has evaded, ministers and financiers like putting rules (of restriction on others) whilst they can watch adult movies, claim expenses for sink plungers, and pay tax for people who shouldnt be here in the first place.
Hypocrocy at its best!
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