On 26 January, the European Commission adopted various decisions aimed at strengthening the supervisory framework for EU financial markets. The Commission has revised the Decisions establishing the EU Committees of Supervisors: the Committee of European Securities Regulators, the Committee of European Banking Supervisors and the Committee of European Insurance and Occupational Pensions Supervisors. The Commission has provided for a non-exhaustive list of tasks that the Committees are expected to perform.
Presently, it is require unanimity for decisions to be taken. However, the Commission’s Decisions have introduced qualified majority voting when consensus cannot be reached in the Committees. Whereas the Committee’s opinion is non binding, Members who do not follow measures adopted by the Committees are required to justify their decision.
These Decisions entered into force on 29 January when published on the Official Journal of the European Union.
The European Commission also proposed the establishment of a Community programme, to support specific activities in the field of financial services, financial reporting and auditing. The EU Committees of Supervisors are funded by national governments however the Commission wants to provide them with direct funding from the Community budget as well as to international and European bodies such as the International Accounting Standards Committee Foundation (IASCF), the European Financial Reporting Advisory Group (EFRAG) and the Public Interest Oversight Body (PIOB).
According to the Commission “Stable, diversified, sound and adequate funding of these bodies will enable them to accomplish their mission in an independent and efficient manner.”
The Commission has proposed to allocate EUR 36,2 million from the Community budget to fund the abovementioned programme for the period from January 2010 to the end of 2013.
The proposal for financial support will go through the co-decision procedure.
