Practitioners say: supervisory cooperation better than relocation regarding post-Brexit euro clearing – 12th June 2017
Giving the European Central Bank more visibility into the prudential stability of euro clearing in London, following the United Kingdom’s departure from the European Union, makes more sense than relocating the flows, practitioners have said. This could be achieved through continued supervisory cooperation between UK authorities and the ECB, they told the Financial Industry Association’s FIA IDX conference in London. “There’s a genuine interest among many stakeholders – right across the world, not only within the European Union – to have visibility of what’s happening at … systemically important CCPs, and there’s a euro link there as well,” Finbarr Hutcheson, president, ICE Benchmark Administration, told the gathering. “It’s perfectly sensible and rational to allow stakeholders visibility into what’s happening at some systemically important structures, without necessarily trying to dictate the location of business,” Hutcheson said.
Peter Elstob, Regulatory Intelligence