LONDON/BRUSSELS (Reuters) – The European Commission launched a review of its policy on bank structure on Monday, a move that follows hard on the heels of Britain’s radical plan to ring-fence the assets of savers against losses from risky investment banking.

The review will be headed by Erkki Liikanen, the governor of the Bank of Finland, the commission said, kicking off a process that could herald more intrusive regulation and upset governments that want to maintain responsibility for their own banks.

BRUSSELS (Reuters) – European Union diplomats are trying to reach agreement on a new treaty enforcing stricter budget rules in the euro zone and other participating countries, but obstacles remain to securing a deal amid efforts to soften some of the measures.

All EU countries except Britain are expected to sign off on the pact when leaders meet at a summit on January 30. But preparatory talks ended last week with differences still unbridged and the European Central Bank unhappy with the direction of the talks.

LONDON/BRUSSELS (Reuters) – The European Commission launched a review of its policy on bank structure on Monday, a move that follows hard on the heels of Britain’s radical plan to ring-fence the assets of savers against losses from risky investment banking.

The review will be headed by Erkki Liikanen, the governor of the Bank of Finland, the commission said, kicking off a process that could herald more intrusive regulation and upset governments that want to maintain responsibility for their own banks.

BRUSSELS (Reuters) – A European Union treaty to tighten budget controls in the euro zone should be in place by January1, 2013, according to a draft agreement that spells out concessions in an effort to win broad support within the debt-laden bloc.

Drafted amid a deep-seated crisis that threatens the currency union’s future and has sent borrowing costs soaring for many states, the document obtained by Reuters on Wednesday sets out a temporary escape clause for members that cannot meet the stricter new standards.

BRUSSELS (Reuters) – A new EU fiscal treaty will only allow euro zone countries to incur budget deficits during severe economic downturns in the euro zone or other exceptional events, according to a draft of the document obtained by Reuters on Wednesday.

The document is the latest draft of a treaty to tighten fiscal controls in the euro zone, a move Germany has insisted upon in order to prevent a repeat of the runaway spending that led to a debt crisis in the 17-country euro zone.

BRUSSELS, Jan 9 (Reuters) – European finance ministers
should map out plans on a financial transaction tax by March,
German Chancellor Angela Merkel said on Monday, after Britain
pledged to block any such tax across the European Union.

Germany and France have revived a concept similar to that of
U.S. Nobel laureate James Tobin who proposed a tax on currency
transactions in the early 1970s to discourage speculation. His
idea was largely ignored until recently.

BRUSSELS (Reuters) – European Union leaders will meet on January 30 next year, European Council President Herman Van Rompuy said on Tuesday as diplomatic negotiations began on a pact to tighten euro zone fiscal controls.

In a video address, Van Rompuy said the summit for the 27-country bloc would be focused on jobs. He also highlighted the importance of achieving financial stability in the euro zone.

BRUSSELS (Reuters) – European Union leaders will meet on January 30 next year, European Council President Herman Van Rompuy said on Tuesday as diplomatic negotiations began on an intergovernmental pact to tighten euro zone fiscal control.

In a video address, Van Rompuy said the summit for the 27-country bloc would be focused on jobs and he also highlighted the importance of achieving financial stability in the euro zone.

BRUSSELS (Reuters) – Credit rating agencies came under fire in the European Parliament Tuesday when a key lawmaker said he wanted to reopen discussion on controversial proposals to curb their ability to comment on bailed-out euro zone countries.

Italian socialist Leonardo Domenici, tasked with hammering out amendments to a draft law being debated by the Parliament, said the body should re-examine the suggestion again after the European Commission had backed away from it.

BRUSSELS (Reuters) – One of the EU’s top officials said on Wednesday he hoped Britain would join other states in an agreement to tighten euro zone budget controls, and played down concerns about “discriminatory” rules being imposed on London’s financial sector.

British Prime Minister David Cameron last week refused to join the EU’s other 26 member states in backing a new fiscal treaty for the euro zone, saying it was not in Britain’s interests, a decision that has left the country isolated.