30 November 2009

Barroso's Commission appointments: skilful - but disturbing result of automatically removing David Wright from financial services

While the lists of nominees are very welcome and President Barroso should be commended for the speed and skill with which he has acted, there are nevertheless some disturbing side effects which impinge in particular on the future of the management of the financial service portfolio.

While the lists of nominees are very welcome and President Barroso should be commended for the speed and skill with which he has acted, there are nevertheless some disturbing side effects which impinge in particular on the future of the management of the financial service portfolio: it has been widely made known that as a compensation for attributing the Internal Market/financial services portfolio to the Frenchman Michel Barnier, a British Director general (Jonathan Faull) is replacing the Swedish incumbent.

While in no way contesting the competence of Mr Faull, his appointment will lead automatically to the displacement of the Deputy Director General, David Wright, in compliance with the Commission's own internal regulations which will not allow a DG and Deputy DG of the same nationality in the same Directorate. This is particularly worrisome as there is universal recognition of David Wright's expertise and competence in the financial services area which is of particular significance at this point in time when the reform of the financial regulatory system is starting its progression through the legislative process.

He will be very much missed by the industry as a whole. This is a typical example of putting political expediency ahead of common sense pragmatism. It would have been so easy to appoint David Wright himself to the position of Director General achieving both political and pragmatic objectives simultaneously.

 

© Paul Goldschmidt