Treasury has written to the Czech EU presidency in advance of the G20 summit. The letter sets out priorities and highlights:
- how prudential and conduct of business regulation must be considered together, not separately;
- the importance of global cooperation;
- consistency and alignment of supervisory and crisis management arrangements; and
- independence and accountability of regulators.
Treasury suggests four strands to the EU response:
- finding a mechanism that brings together an early warning system for macro-economic and financial market problems;
- better cohesion and accountability between EU sectoral regulators, ultimately merging the three European standard-setters and giving them more powers;
- developing more pan-European rules for market infrastructure, in particular clearing and settlement systems; and
- a fundamental review around issues relating to cross-border branches.