14 March, 2010
City of London meets Belgian finance minister for traditional
pre-Presidency meeting
The Lord Mayor of the City of London Nick Anstee and the City of
London Corporation’s Policy Chairman Stuart Fraser are today
travelling to Brussels where they will meet with the Belgian
finance minister Didier Reynards in order to prepare for the
forthcoming rotation of the European Presidency when Belgium will
take over the reins from Spain.
The Lord Mayor and the Policy Chairman will also be using this
visit as an opportunity to speak with a number of high-level EU
policy makers such as the internal markets Commissioner Michel
Barnier and MEPs Jean Paul Gauzes and Peter Skinner, in order to
discuss current and future plans for the regulation of the
financial services industry, including the latest version of the
Commision’s AIFM directive.
The Lord Mayor of the City of London commented:
“London is the financial capital of the European Union and its
only truly global financial centre.
“If the EU implements proposals that diminish the ability of its
greatest financial asset - the City - to compete in the global
marketplace, it will have a detrimental impact not only in the UK,
but across the whole of Europe.
“It is important to know what agenda the next country to hold
the European Presidency will be pursuing and to feed in the City’s
thoughts on current and future EU regulation before it takes
office. That is why the City of London maintains a constant
presence in Brussels and that is why I am here today.
“The City is committed to free and open markets and welcomes
closer economic integration with our European partners.
“However, one only has to look at the Commission’s hedge fund
directive to see how allowing nationalistic considerations and
protectionist sentiment to creep into the policy-making process can
lead to unpalatable consequences - both intended and otherwise –
for a wide range of industries stretching right across Europe.”
The Chairman of the Policy and Resources Committee at the City
of London Corporation Stuart Fraser added:
“The European Commission’s hedge fund directive will affect the
whole of the EU, not just London.
“However, given that London is home to 80% of the EU-based hedge
fund industry, we will undoubtedly be disproportionately affected
by this legislation.
“The fact that the proposals have already been subject to nearly
1,700 amendments reflects the level of dissatisfaction that exists
throughout the EU and the inadequacies of the original drafting
process.
“Hedge funds and private equity firms are highly mobile and can
easily move their operational bases to more welcoming
jurisdictions. At a time when the whole of Europe is facing
financial difficulties, it makes no sense to implement a set of
proposals that will cause these valuable sectors to consider
relocating outside of the EU.
“The consequences of failing to consider the global implications
of this legislation are plain for all to see. Just last week the
USA voiced its dissatisfaction when the US Secretary of the
Treasury Tim Geithner, sent a letter to the internal markets
Commissioner Michel Barnier, claiming the AIFM directive would
discriminate against American firms.
“We simply cannot afford to diminish our international
competitiveness or to leave ourselves open to retaliatory actions
from our global competitors in this way.”
Ends
Notes to editors
About the City of London:
The City of London Corporation is a uniquely diverse organisation.
It supports and promotes the City as the world leader in
international finance and business services and provides local
services and policing for those working in, living in and visiting
the Square Mile. It also provides valued services to London and the
nation. These include the Barbican Centre and the Guildhall School
of Music & Drama; the Guildhall Library and Art Gallery and
London Metropolitan Archive; a range of education provision
(including three City Academies); five Thames bridges (including
Tower Bridge and the Millennium Bridge); the Central Criminal Court
at Old Bailey; over 10,000 acres of open spaces (including
Hampstead Heath and Epping Forest), and three wholesale food
markets. It is also London’s Port Health Authority and runs the
Animal Reception Centre at Heathrow. It works in partnership with
neighbouring boroughs on the regeneration of surrounding areas and
the City Bridge Trust, which it oversees, donates more than £15m to
charity annually.
About the Lord Mayor of the City of London:
The Lord Mayor is head of the Square Mile’s City of London
authority for one year and the position is unpaid and apolitical.
It is an exceptionally demanding role. The Lord Mayor spends some
90 days abroad and addresses some 10,000 people face-to-face each
month (making around 800 speeches a year). The Lord Mayor
represents City businesses and helps the City Corporation advise
the Government of the day on what is needed to help the financial
services sector to function well. The Lord Mayor frequently travels
to represent the City; and travels overseas with the status of a
Cabinet Minister. On average, the Lord Mayor will meet one head of
state a month and will meet a prime minister or finance minister
each week to discuss financial services, often in conjunction with
senior City business representatives. The Lord Mayor, who is
unpaid, lives in the Mansion House for the Mayoral year.
Download a high-res photo
About Stuart Fraser:
Stuart Fraser is Chairman of the Policy and Resources Committee of
the City of London Corporation.
View his biography
Press contact
James Abbott
Tel: 020 7332 1754
Mob: 07831 543188
Email:
james.abbott@cityoflondon.gov.uk