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EU wants to control British banks
Date 11/05/2010 15:31  Author webmaster  Hits 2049  Language Global

Gordon Brown and José Manuel Barroso with ECB President, Jean-Claude Trichet in Oct. 2008 (Photo: European Commission)British plans to improve the banking industry as a result of the financial crisis could be in tatters as EU bureaucrats attempt to take charge of all banks operating in the UK.

The European Parliament's Economic Affairs Committee has put forward proposals to set up a European Super-Regulator to control the activities of banks across the EU.

The Committee's text, released yesterday, "creates a power to supervise directly systemically-important cross-border financial institutions, whereby national supervisors would act as agents of the EU authority."

This means that the UK regulator (the FSA) or the Bank of England would ‘act as agents of the EU authority'  - in other words, the EU would set the rules and expect the FSA or Bank of England merely to enforce them.

UKIP Chairman Paul Nuttall MEP said: "Love it or loathe it, the banking industry is Britain's biggest export, and is envied the world over.

"Now the EU wants to hijack it.  If we let that happen, we will not have a single industry left in this country that we control ourselves. No other EU country has a comparable banking industry, they are the last people that should be controlling it.

"We need to get out of the EU right now if we don't want to see our flagship industry fall into the hands of EU bureaucrats who have stood by as Greece bankrupts itself and the value of the Euro falls through the floor.

"What will the three old parties do about it? Nothing."

MEPs vote to beef up financial supervisory package (European Parliament website)
MEPs plot super-regulator based in Frankfurt (Telegraph)