Regulation Correspondent, Europe
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Nov 25, 2014

Watchdog homes in on ‘survival borrowing’ in credit card probe

LONDON (Reuters) – Britain’s credit card market is not working well for struggling customers who over-borrow and pay unexpectedly high rates, the country’s financial regulator said on Tuesday, as it launched a study that could change the way cards are sold.

The Financial Conduct Authority (FCA) said it would study how easy it is for customers in Europe’s biggest credit card market to shop around, how card providers recover costs, and the extent of unaffordable debt.

Nov 25, 2014

UK watchdog homes in on “survival borrowing” in credit card probe

LONDON, Nov 25 (Reuters) – Britain’s credit card market is
not working well for struggling customers who over-borrow and
pay unexpectedly high rates, the country’s financial regulator
said on Tuesday, as it launched a study that could change the
way cards are sold.

The Financial Conduct Authority (FCA) said it would study
how easy it is for customers in Europe’s biggest credit card
market to shop around, how card providers recover costs, and the
extent of unaffordable debt.

Nov 24, 2014

Bank of England mulls tougher capital rules for clearing houses

LONDON, Nov 24 (Reuters) – Financial institutions that
settle trillions of dollars of derivative contracts a day may
need to hold more capital to stop them requiring a government
bailout if they fail, a senior Bank of England official said on
Monday.

David Bailey, a BoE official responsible for financial
market infrastructure, said clearing houses – also known as
central counterparties (CCPs) – might need to build up bigger
capital buffers, as banks are already being required to do.

Nov 21, 2014

ECB wants flexibility in EU banks trading law

LONDON, Nov 21 (Reuters) – The European Central Bank (ECB)
wants flexibility in how it applies planned EU rules to isolate
high-risk trading at big banks, to avoid harming financing for
the economy, it said on Friday.

The ECB’s opinion will carry clout because from this month,
it became the supervisor for the euro zone’s top banks.

Nov 21, 2014

U.S. under pressure to match EU rules on market benchmarks

LONDON, Nov 21 (Reuters) – The United States may need
tougher rules to regulate market benchmarks or risk being locked
out of the European Union market, a top U.S. regulator has said.

The EU is approving extensive rules drafted by the European
Commission after banks were fined billions of dollars for
attempting to rig currency market and interest rate benchmarks.

Nov 21, 2014

UK concedes defeat in bid to block EU bank bonus limit

BRUSSELS/LONDON (Reuters) – Britain suffered an embarrassing defeat in its attempt to block the European Union’s new limits on bank bonuses on Thursday, withdrawing its legal challenge after an adviser to the bloc’s top court made clear it was unlikely to succeed.

The EU law aims to curb the kind of risk-taking that led to the 2007 to 2009 financial crisis by limiting bonuses awarded from next year to a sum no more than a banker’s fixed pay, or twice that level with shareholder approval.

Nov 20, 2014

Bank of England policymaker says banks’ boards must take more responsibility

LONDON (Reuters) – Bank boards must have a collective understanding of how much capital the bank needs and the way staff are paid rather than delegate all key decisions to committees, a Bank of England policymaker said on Thursday.

Board members were criticised for not fully grasping their job, such as understanding the risks from complex financial derivatives, after the 2007-09 financial crisis highlighted major governance failures.

Nov 20, 2014

BoE policymaker says banks’ boards must take more responsibility

LONDON, Nov 20 (Reuters) – Bank boards must have a
collective understanding of how much capital the bank needs and
the way staff are paid rather than delegate all key decisions to
committees, a Bank of England policymaker said on Thursday.

Board members were criticised for not fully grasping their
job, such as understanding the risks from complex financial
derivatives, after the 2007-09 financial crisis highlighted
major governance failures.

Nov 20, 2014

EU should keep limit on bank bonus, adviser says in blow to UK

BRUSSELS/LONDON (Reuters) – Britain’s relations with the European Union took another knock on Thursday when its legal challenge to a limit on bankers’ bonuses was rejected by an adviser to the bloc’s top court.

The EU law aims to curb the kind of risk-taking that led to the financial crisis by limiting bonuses awarded from 2015 to a sum no more than a banker’s fixed pay, or twice that level with shareholder approval.

Nov 19, 2014

UK challenge to banker bonus cap faces test in EU court

LONDON, Nov 19 (Reuters) – Britain’s challenge to the
European Union’s cap on bankers’ bonuses will be tested on
Thursday when a legal advisor to the EU court handling the case
will give an opinion on the issue.

Any setback for Britain in the case could give more
ammunition to anti-EU campaigners in Britain, including the UK
Independence Party, which hopes to win a vote on Thursday that
would give it a second parliamentary seat.

    • About Huw

      "Huw is based in London and covers European regulatory issues and global rulemaking bodies such as the G20, Financial Stability Board, IOSCO, IASB and the Basel Committee. He has covered EU regulation in Brussels, the emergence pan-European stock markets, and has also been a Wall Street reporter in New York."
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