17 December 2009

UK Lords Committee launches inquiry into supervision of derivatives markets in the EU

In a reaction to the forthcoming Commission’s proposal on derivatives markets the Committee calls for evidence on the economic benefits and risks associated with derivatives markets and the activities of central counterparties including how clearing might be regulated.

The communications in question provide an outline of proposals from the Commission to reform the regulation and supervision of derivatives markets in the European Union.

As part of the inquiry the Committee hopes to receive evidence on the economic benefits and risks associated with derivatives markets and the activities of central counterparties including how clearing might be regulated. The Committee also intends to look at trade repositories and the responsibilities for operating them.

On the launch of the inquiry, Baroness Cohen, Chairman of the Sub-Committee on Economic Affairs commented:

"The Commission's proposed reforms on the regulation and supervision of EU derivatives markets need careful investigation to check if they have got it right. We want to hear from interested parties so that we can understand properly how the communications would translate into an effectively regulated and supervised derivatives market, and how they would impact upon these markets."

The deadline for comments is 1 February 2010.

Full call for evidence