Writing in the Financial Times this week, Nick Clegg warned:
In the debate on banking union we back greater co-operation on various aspects of an integrated financial system: common rules on the restructuring of failed banks, shared principles on how to protect depositors, high minimum standards for the capital EU banks should hold and a strong European Banking Authority.
As for the second caricature, the idea that the UK is all about City opt-outs and financial deregulation, that has been out of date since this government took office. In reality, the UK has been arguing for tightening, not loosening regulation, and not for City opt-outs. We have put in place a bank levy, weighted towards riskier activity, which is higher in relative terms than in other big European jurisdictions. We have been purists, not deregulatory fanatics, on capital adequacy, where we think the high floor of the Basel III standard should apply to all systemically important financial institutions. We have also argued against EU derogations and opt-outs that other member states have supported. The UK will be constructive in discussions over regulation.
As for the second caricature, the idea that the UK is all about City opt-outs and financial deregulation, that has been out of date since this government took office. In reality, the UK has been arguing for tightening, not loosening regulation, and not for City opt-outs. We have put in place a bank levy, weighted towards riskier activity, which is higher in relative terms than in other big European jurisdictions. We have been purists, not deregulatory fanatics, on capital adequacy, where we think the high floor of the Basel III standard should apply to all systemically important financial institutions. We have also argued against EU derogations and opt-outs that other member states have supported. The UK will be constructive in discussions over regulation.You can read the full piece from Nick Clegg here.
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