Question

To ask the Secretary of State for Business, Innovation and Skills, what his policy is on mutually-recognised standards in financial services as part of negotiations on the Trans-Atlantic Trade and Investment Partnership.

The Government wants to use the Transatlantic Trade and Investment Partnership (TTIP) to encourage financial regulators from the EU and the USA, as hosts of the largest financial centres in the world, to work with each other and agree consistently high standards in the future. Establishing closer and more effective regulatory cooperation between the world’s two largest financial centres is essential. By working together to agree more consistent rules, the EU and the USA can eliminate the opportunities for regulatory arbitrage and encourage other jurisdictions to follow suit. Closer dialogues also mean that emerging risks can be spotted and addressed together.