Lords Committee turns to academics for opinion on post-Brexit financial supervision

Maria Nikolova

The EU Financial Affairs Sub-Committee will hear evidence on how financial regulation and supervision can evolve following Brexit in order to ensure financial stability and preserve market access.

The UK Parliament has turned to academics for their opinion on how financial supervision will change following Brexit. The EU Financial Affairs Sub-Committee is scheduled to hear Eilís Ferran, Professor of Company and Securities Law, University of Cambridge, and Niamh Moloney, Professor of Law, London School of Economics, with the hearing scheduled for Wednesday, September 13, 2017.

The possible topics of discussion cover the impact Brexit might have on the direction of EU financial governance, the role played by the European Supervisory Authorities (ESAs) in shaping the EU’s financial regulation and how the UK might maintain its influence on the process. Other possible areas of discussion include the main legal obstacles to an agreement on financial services, the options for a transitional arrangement covering financial services, and the regulatory position of FinTech.

The EU Financial Affairs Sub-Committee launched the inquiry into the future of financial regulation and supervision following Brexit in July this year. The focus of the inquiry is how financial regulation and supervision can evolve following Brexit so that financial stability is ensured. The Lords Committee is also examining how to maintain some other form of close relationship between the UK and EU regulatory regimes in order to preserve market access. The inquiry will encompass an assessment of not only the body of regulation, but also the institutional structures that support it.

Brexit, of course, is one of the priority matters for all UK institutions, including financial regulators. Recently, the Financial Conduct Authority has published the results of a survey of companies it regulates. Only 14% of respondents said they feel that the FCA is communicating effectively with them on the process of preparing to exit the European Union.

When firms were asked what they consider the FCA’s objectives should be during this process, the most common responses were to “minimise upheaval/ disruption for UK firms”, and to “provide clear guidance about new regulation/ changes to regulation”.

“Protecting consumers” and “protecting the financial industry” did not make it to the top three responses.

Source: FCA.
  • Read this next

    Retail FX

    Weekly Roundup: FX prop firms switch to cTrader, who moved $1.35B BTC?

    The foreign exchange and cryptocurrency markets are always active, and this past week was no exception. Stay ahead with a selection of essential stories and updates that matter most to market participants.

    Digital Assets

    Bitcoin breaks all records with a massive $1.347 billion transaction

    This transaction has surpassed previous records, setting a new benchmark for Bitcoin trades. Before this event, the largest Bitcoin transactions included a $1.1 billion trade in April 2020 involving 161,500 BTC, and other significant transactions ranging from $491 million to $1.033 billion throughout 2019 and 2020.

    Digital Assets

    Uniswap debuts Ethereum ‘uni.eth’ subdomains

    Decentralized exchange platform Uniswap has integrated Ethereum Name Service (ENS), allowing users to create human-readable domain names and cryptocurrency wallet addresses using .eth endings.


    Magic Square Expands with TruePNL Acquisition

    Binance’s web3 app store, Magic Square, acquired token platform TruePNL in a cash deal this week for an undisclosed sum. The deal brings TruePNL’s infrastructure (excluding branding & token) under Magic Square’s wing. Initially seeking a partnership, Magic Square opted for a full acquisition.

    Crypto Insider

    The Future of Prediction Markets? Zeitgeist Launches Decentralized Court System

    Polkadot-powered prediction market protocol Zeitgeist has announced the launch of its latest innovation: a decentralized court system.

    Digital Assets

    Crypto exchange Kraken fires back at SEC lawsuit, claiming overreach

    Crypto exchange Kraken is pushing back against the U.S. Securities and Exchange Commission (SEC), seeking to toss out a lawsuit that accused the platform of operating without proper registration.

    Industry News

    Exness Named a Best Place to Work in 2024

     Global leader Exness, tops in retail trading volume, earns 2024 “Best Place to Work” award, cementing its employee-centric culture after three prior years of winning the Cyprus national title.

    Digital Assets

    Swan Bitcoin taps Bakkt for crypto offering in the US

    “We are thrilled to be taking this exciting step forward in our partnership with Swan. This is just the beginning of our collaboration, as we intend to explore further growth opportunities together in the future, including expansion into international markets.”

    Digital Assets

    Polkadot Awards Bifrost a 500,000 DOT Loan to Enhance Liquid Staking Adoption

    Bifrost, a leader in liquid staking solutions, has secured a 500,000 DOT loan from Polkadot’s treasury to expand the reach and utility of its vDOT product within the ecosystem.