Barroso banks on EU leaders for financial reform

Responses to the Commission's proposals

“The global nature of financial services means that problems can arise in one country that affect others. The events of the Past 18 months have reinforced the need for much greater co-operation on regulation, both internationally and within the EU, to ensure that problems can be dealt with effectively when they occur.

“The Commission's proposals represent a starting point for further discussions. Any reforms we make within the EU need to be workable, practical and consistent with the approach we are taking internationally through the G20.”

German centre-right MEP Klaus-Heiner Lehne, member of the European Parliament's legal affairs committee:

“Today's announcement by the European Commission on reform of financial market supervision goes in the right direction but it is too little to combat the crisis...I regret that the Commission has not come forward with concrete legislative proposals. We cannot afford to lose any time in completing the necessary restructuring of financial market supervision as quickly as possible in order to restore confidence on the financial markets.

“I hope that the fact that the proposal will only be presented in the autumn is not down to an intervention by London. It is well-known that Labour Prime Minister [Gordon] Brown has only the interests of London as a banking centre in mind and not the stability of the financial markets. It must be clear to all of us that the role of the financial markets is allocating capital, not as a playground for gamblers making huge bets.

“We must get away from the chaos of 27 different supervisory systems and move towards a central European supervision because financial-market actors do not remain within national borders. This means that the three supervisory committees should develop into a European financial-market supervisor. This should take final decisions and should not just have an advisory role.”

Danish Socialist MEP Poul Nyrup Rasmussen, president of the Party of European Socialists:

“The De Larosière recommendations are a pragmatic but vital step forward to restore trust in the financial system. The European Commission is thankfully broadly supporting the de Larosière recommendations.

 “The real test will come when the European Commission presents its detailed proposals. The European Commission must continue to remain faithful to De Larosière's recommendations. They must resist the inevitable pressure from member states to water them down.”