Dáil Éireann Debate, Wednesday - 23 May 2012
45 Deputy Robert Troy asked the Minister for Finance his views on the establishment of a pan European banking regulator that would supersede national authorities across the EU; and if he will make a statement on the matter. [25585/12]
Amharc ar fhreagraFollowing the publication of the De Larosière Report (2009), a new supervisory architecture for financial services in the European Union came into operation from January 1st 2011, namely the European Systemic Risk Board and three European Supervisory Authorities. The European Systemic Risk Board (ESRB) is designed to put a regime in place to monitor and assess risks to the stability of the financial system as a whole ("macro-prudential supervision"). The ESRB will provide early warning of systemic risks that may be building up and, where necessary, recommendations for action to deal with these risks. To achieve its role the ESRB will have the power to issue non-binding recommendations and warnings to Member States (including the national supervisors) and to the European Supervisory Authorities. It will receive secretarial and technical support from the ECB.
Three new European Supervisory Authorities (ESAs) have been established dealing with the banking (European Banking Authority), insurance and pensions (European Insurance and Occupational Pensions Authority) and securities (European Securities and Markets Authority) sectors. The new Authorities took over the roles of the three committees of Supervisors (CEBS, CEIOPS and CSER).
These new Authorities will play a key role in ensuring that there is better co-ordination between supervisors in situations where a financial institution might be operating on a cross-border basis within the EU. They will also be required to ensure that EU financial services'legislation is being implemented in a more uniform manner across Member States and, in that regard, will develop a single rule-book to ensure a more harmonised approach by supervisors.
When these bodies were established, it was proposed that the European Parliament and the Council would examine the Regulation establishing the ESRB, following a report from the Commission, and shall determine whether the mission and organisation of the ESRB need to be reviewed by 17 December 2013.
Similarly, in relation to the three European Supervisory Authorities, the European Commission shall publish a general report on the experience acquired as a result of the operation of the Authorities by 2 January 2014.
It would be premature to comment on the need for further regulatory amendments at this stage in advance of these reviews.
