The European Association of Corporate Treasurers (EACT) has issued its November report on regulation in the EU, highlighting progress on EMIR, Basel, MMF, FTT and more.

The report - available here – gives an overview of the current status and latest developments in several areas of regulation. Some of the main points in the update include the following:

• European Market Infrastructure Regulation (EMIR): the Commission is expected to publish a review report by the end of the year and a legislative proposal early next year
• CRD / Basel: the Commission is expected to adopt a CRD V package by the end of the year
• Money Market Funds (MMF) Regulation: trilogues are ongoing
• Financial Transaction Tax (FTT): the Commission was tasked to draft a new FTT proposal but the future of FTT remains uncertain
• Financial Benchmark Regulation: ESMA is holding a consultation on the level 2 measures
• Bank Structural Separation (Barnier / Liikanen rule): no progress

G20 is source of much regulation, not EU

In a post on its website blog page, the UK's ACT reminds treasurers in the UK that EU regulations still apply until the point when Britain actually leaves the European Union. It writes:

“EU members are reminded that their UK operations will continue to be required to comply with EU regulations until Brexit occurs, and should expect much of the EU originated regulation to continue once completed. The UK is separately a member of the G20 and that organisation is the ultimate source of much of the change which has been brought into effect in the UK since 2008 albeit through the EU.”

The ACT also notes that the FTT will not apply to UK companies unless they are trading with a member country that supports the FTT. Also, the issue of bank separation is supported in the UK and the UK's five large banks are preparing for separation of proprietary trading activities.