The European Scrutiny Committee has assessed the proposed Regulation on benchmarks used in the financial services sector. It acknowledged an update from Harriett Baldwin, telling the Committee that:

  • the trilogue process has agreed a three-tier categorisation framework with diminishing restrictions applying to those benchmarks that are in the less significant categories; and
  • given the widespread use of third-country benchmarks in EU markets, both EP and the Council texts agree that alternative mechanisms beyond simple equivalence are required to ensure a workable third-country regime.

(Source: Commons Updates on Benchmarks Regulation)