BRUSSELS, May 3 (Reuters) – When Britain’s George Osborne
told other EU finance ministers at a negotiating table that
their plans for bank capital rules would make him “look like an
idiot”, his colleagues may have been exasperated by his
un-European lack of tact.

But behind the scenes, some EU lawmakers say he had a point.

Despite 15 hours of marathon talks which ran until early on
Thursday morning, Britain refused to back a 700-page draft law,
weighing 1.5 kg (3.3 pounds) and designed to introduce globally
agreed standards for European banks.

BRUSSELS, May 3 (Reuters) – Britain’s George Osborne accused
fellow EU finance ministers of trying to water down Europe’s
bank capital rules and said this would make him “look like an
idiot”, as talks about a law to stop another financial crisis
unravelled in Brussels.

In remarks at the negotiating table, Osborne, who says he
wants much tougher controls to avoid a repeat of the current
crisis, fumed that regulation being discussed could dent the
credibility of Europe and harm London, its top financial centre.

BRUSSELS (Reuters) – Britain’s George Osborne accused fellow European Union finance ministers of contemplating a deal to tighten bank capital rules that would make him look “like an idiot”, in an outburst that marked high tension during day-long talks in Brussels.

In remarks at the negotiating table, relayed on television to watching journalists, Osborne, who says he wants much tougher controls to avoid a repeat of the current crisis, fumed that complex regulations being discussed could dent the credibility of Europe and harm London, its top financial market.

BRUSSELS (Reuters) – EU finance ministers faced a struggle to reach a deal to force banks to set aside more capital to cushion future losses, with Germany warning an immediate agreement looked unlikely and Britain demanding stricter rules than those on offer.

The EU’s 27 members are divided over how much capital lenders should have to set aside to cover risks, one of the central questions raised by a five-year-long financial crisis that toppled dozens of banks in Europe and the United States.

BRUSSELS, May 2 (Reuters) – EU finance ministers will
attempt to reach a deal to force European banks to set aside
more capital to cushion losses on Wednesday, with Britain and
Sweden demanding even stricter rules than those on the table.

The EU’s 27 members are divided over how much capital
lenders should have to set aside to cover risks, one of the
central questions raised by a five-year-long financial crisis
that toppled dozens of banks in Europe and the United States.

BRUSSELS (Reuters) – The European Commission pledged to tighten control of so-called shadow banking on Friday, answering central bank calls for stricter regulation of the sprawling 46 trillion euro ($61 trillion) sector which has been blamed for aggravating the financial crisis.

Policymakers fear that as the regulatory net closes on banks, shadow banking will thrive, with activities traditionally carried out by banks escaping the watch of regulators.

BRUSSELS, April 26 (Reuters) – Italy’s Prime Minister Mario
Monti backed a call on Thursday to reorientate the EU’s sick
economy towards growth, saying that concentrating on budgetary
discipline alone could leave the continent in a prolonged slump.

Responding to the European Central Bank’s message that it
was up to leaders to pull Europe out of its devastating debt
crisis, Monti said countries needed “new policy skills” as well
as structural reforms and government spending cuts.

BRUSSELS, April 25 (Reuters) – Britain clashed with France
on Wednesday over demands that London be allowed force banks to
top up capital beyond new EU levels, diplomats said, in a
long-running dispute threatening to undermine a central plank of
European financial reform.

The European Union is attempting to translate higher capital
standards set by the Basel Committee of regulators and central
bankers into EU law by the end of this year, a move to make it
costlier for banks to engage in high-risk lending or investing.

BRUSSELS, April 23 (Reuters) – The European Commission has
urged regulators in Washington to delay elements of new
derivatives regulation, fearing that confusion surrounding some
of the rules will harm EU banks operating in the United States.

The U.S. Commodity Futures Trading Commission (CFTC) and the
Securities and Exchange Commission (SEC) finalised rules last
week that will determine which firms involved in trading swaps
must register with regulators and back up trades with more
capital and collateral.

BRUSSELS, April 4 (Reuters) – EU countries are making a
fresh attempt to break the deadlock over new bank capital rules
and ministers are due to meet on May 2, officials and diplomats
said, accelerating efforts to find agreement on measures crucial
for lending and the economy.

The European Commission has proposed new standards for the
amount of capital banks across the 27-state European Union must
hold to cover risks.