Kamall: Commission bank proposals are too little, too late

28-Jan-2014 @ 15:0

Syed Kamall Syed Kamall

Anthea McIntyre Anthea McIntyre

Anthea McIntyre Anthea McIntyre

Proposed structural reform of the banking sector across the EU will be too little too late to tackle fundamental problems that plunged the world economy into crisis.

The warning came today from Syed Kamall, leader of Britain's Conservative MEPs and the Party's economics spokesman in the European Parliament.

Responding to the European Commission's announcement today of proposed new measures, London MEP Dr Kamall said: "This is a heavily watered down initiative that will not tackle the fundamental causes to prevent a repeat of the financial crisis. Six years after the run on Northern Rock and five years after Lehman Brothers collapsed, we've seen a slew of new EU financial regulations, but none that would have prevented taxpayer bail outs of failing banks."

"If we are to prevent another crisis engulfing our financial system, we must not only remove the state guarantee but also make sure bankers are subject to much tougher liability standards. International accounting standards also need to be overhauled so that banks' accounts reflect reality, not what bankers and their accountants want them to look like."

"The UK has already come forward with proposals that would go a long way to ensuring that taxpayers no longer bail out failing banks."

"The Commission's proposal comes only a few months before the European elections and so has no chance of becoming law in the near future. It is too little, too late.

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