|
|
This flows naturally - in my view - from the need to have an exisiting body that can exercise powers under the current Treaty. This may not be ideal in the long-run but provides a solution for 2015 and onwards. Any other approach runs the risk of being held hostage by the UK.
However, a second best solution is not the end of the world. I have argued repeatedly that a thorough Asset Quality Review by the ECB, follwed up by a stress test to ensure that banks are well-capitalised, should reduce the chances for several years of a major bank having to be resolved.
(More for Graham Bishop clients later)