Brussels, 21/11/2007 (Agence Europe) - EU Internal Market Commissioner, Charlie McCreevy, said at a conference organised in Frankfurt on Wednesday 21 November by the Committee of European Insurance and Occupational Pensions Supervisors (CEIOPS) that the European Commission was not suggesting any major international amendments, as this would be neither desirable nor feasible at this stage, but rather practical improvements at all levels of the Lamfalussy Approach. Named after the former chair of the Committee of the Wise on regulating securities markets (see EUROPE 7904), the Lamfalussy Approach is used when adopting and applying EU financial services regulations. McCreevy said the practical improvements, to be announced in the European Commission's report of the same day and implemented in the course of next year, had two objectives: ensuring greater consistency and convergence for the implementation and respect of legislation; and improving cooperation between national control authorities.
Level 3 of the Lamfalussy Approach is made up of the Committee of European Banking Supervisors (CEBS), the Committee of European Securities Regulators (CESR), and the Committee of European Insurance and Occupational Pensions Supervisors (CEIOPS) and requires particular attention. Despite the work of European committees, the outcome has not always matched expectations and pointless blockages on important control-related issues have manifested, explains the Commission in its report. It suggests that a joint European Parliament and ECOFIN Council statement should be published, based on a proposal from the Commission, to set out the European institutions' main expectations on convergence in terms of control by European committees. After two years, the committees would report back on progress or reasons why progress could not be achieved. McCreevy said it would be necessary to introduce a European dimension into the mandates of national surveillance authorities, a suggestion included in a recent report from the Inter-Institutional Group monitoring the functioning of the Lamfalussy Process (see EUROPE 9523). In connection with the legal basis on which the European level 3 committees are based, he indicated that the Commission would examine whether amendments to the current regulatory framework were necessary and whether, “to introduce explicit references to the CESR, CEBS and CEIOPS in European legislation”. The Commission communication also mentions a possible alignment of committee tasks through a modification of decisions introducing them. It is also suggesting more appeals are made to qualified majority voting when the European committees are advising the Commission or adopting measures to improve control convergence. It indicated that the Commission would be presenting a legislative proposal in October 2008 that strengthens the powers of the “controller leader” when monitoring cross-border banking activities. (M.B.)