Financial Services Authority chairman Howard Davies told the British Chamber of Commerce in Brussels today that the Barcelona summit had given new impetus to the single European financial market.
Financial Services Authority (FSA) chairman Howard Davies told the British Chamber of Commerce in Brussels today that the Barcelona summit had given new impetus to the single European financial market.
However, he warned against putting the "focus on numbers of directives, and on ever more regulatory harmonisation".
He also coached caution against imposing rules on wholesale markets that would either dismantle current pan European markets, or drive them away from Europe.
Recognising the differences in retail markets across markets was key, he said.
"It is rational that the details of retail financial regulation should vary from country to country, and a one-size fits all approach just will not work today," he added.
Finally, he said the FSA had welcomed inward investment in the UK financial sector because some benefits could only be achieved via the creation of pan-European financial institutions.
He added that the UK life insurance market now "enjoys lively competition" from foreign companies and commented that the foreign share of our general insurance market is 43%.
The Association of British Insurers said last week that it believed that UK insurers would be well placed to take advantage of a single European market.
