LONDON, Oct 1 (Reuters) – European Union banks may get an
unfair advantage over global rivals because of the bloc’s
failure to apply international capital rules properly, a global
regulatory body said on Monday.
The Basel Committee on Banking Supervision said in an
unusually blunt report that EU rules for implementing the
committee’s Basel III bank capital accord being phased in from
January are “materially non-compliant” in two crucial respects.
LONDON, Sept 28 (Reuters) – Capital charges for insurers in
the European Union could be cut to encourage lending for
long-term projects and help boost the flagging economy, the
bloc’s executive body said in a high profile policy shift.
The European Commission has written to the European
Insurance and Occupational Pensions Authority (EIOPA) to look at
cutting the amount of capital insurers must set aside to cover
some types of investments.
LONDON, Sept 28 (Reuters) – Britain’s top financial watchdog
delivered a 10-point plan to fix Libor but stopped short of
scrapping the benchmark interest rate in a much-awaited reform
of a system plagued by scandal.
“The system is broken and needs a complete overhaul,” said
Martin Wheatley, head of the Financial Services Authority (FSA).
LONDON (Reuters) – The Financial Services Authority, in a much-awaited reform of benchmark interest rates that have been plagued by scandal, outlined a 10-point plan to fix Libor but stopped short of scrapping the rates.
Martin Wheatley, head of the FSA, acknowledged problems with London interbank offered rates, but said that Libor is so deeply entrenched in the financial system that it cannot be easily replaced. There are no better alternatives now, and any transition to a new benchmark would be difficult, he said.
LONDON, Sept 28 (Reuters) – Britain’s top financial
watchdog, in a much-awaited reform of benchmark interest rates
that have been plagued by scandal, outlined a 10-point plan to
fix Libor but stopped short of scrapping the rates.
Martin Wheatley, head of the Financial Services Authority,
acknowledged problems with London interbank offered rates, but
said that Libor is so deeply entrenched in the financial system
that it cannot be easily replaced. There are no better
alternatives now, and any transition to a new benchmark would be
difficult, he said.
LONDON, Sept 20 (Reuters) – Libor, the interest rate at the
centre of an international rate-rigging investigation, must not
be scrapped hastily and any shift to alternatives should be made
gradually to avoid market disruption, a global derivatives
industry body said on Thursday.
Reform of the London interbank offered rate is inevitable
after Barclays and Royal Bank of Scotland (RBS)
were hauled before British and U.S. regulators. Barclays was
fined a record $450 million in June for attempted manipulation
of the rate and RBS is expected to be the next bank to settle.
LONDON (Reuters) – Europe’s banking watchdog is stepping in to strengthen consumer protection after the rigging of Libor interest rates and mis-selling of financial products.
The European Banking Authority said new rules were urgently needed for home loans and other products given mis-selling scandals, poor compliance with anti-money laundering rules, and the manipulation by Barclays (BARC.L: Quote, Profile, Research, Stock Buzz) of the London Interbank Offered Rate (Libor) used to help price some consumer loans.
LONDON, Sept 18 (Reuters) – European Union lawmakers
proposed on Tuesday that companies should have two auditors to
check their books, beefing up proposals to boost competition and
standards in the audit market.
The idea represents a significant addition to a draft EU law
designed to improve the performance of auditors blamed for
giving banks a clean bill of health just before they were
rescued by taxpayers in the 2007-09 credit crunch.
LONDON, Sept 17 (Reuters) – Banks and investment firms have
until the second quarter of next year to scrap pay incentives
that could encourage the mis-selling of financial products,
European Union regulators said.
The draft plan marked a widening remit for the EU’s
securities watchdog as it pushes into investor protection
territory, traditionally a preserve of national supervisors.
WASHINGTON, Sept 14 (Reuters) – The United States should
reject Basel III bank capital standards if the international
panel that drafted them does not make dramatic changes to the
rules, a director at the U.S. Federal Deposit Insurance Corp
said on Friday.
Speaking at the American Banker regulatory symposium, FDIC
director Thomas Hoenig said the current standards deserve a
total rethink because they are too complex and are based on
subjective judgment calls.