BBA Warns Of Risk Of Losing Step With Regulatory Reform

The forthcoming G20 meeting of finance ministers needs to ensure intentions are matched by deeds, and that regulatory reform proceeds in a coordinated way across countries, BBA chief executive Angela Knight told a conference in London today.

Addressing the Securities Industry Conference in London, she warned that the global consensus on regulatory reform appeared to be weakening.

“There is no shortage of ideas, consultations and proposals for regulatory reforms coming not only from our own UK policymakers but also from the EU and other rulemakers such as the Basel Committee. Each week brings some new proposal, or a new spin on an old one. The G20 began well in pulling these initiatives together. But what looked coherent some 18 months ago looks much less so today.

“As we approach the coming G20 meeting, we must remember that the EU must be part of the international process, international decision making, international agreement and international timescales. A solution agreed in the EU is not an international solution unless it is agreed also with the other G20 members. We need to look across the Atlantic, and east towards Asia, to ensure changes are imposed sensibly everywhere.

“If they do not, then the result will be significant difficulties for businesses in Europe and for the many hundreds of thousands of jobs that depend on financial services industry.”