ERU, Alm.del - 2020-21 - Bilag 331: EMs høringssvar vedr. finansiel tilsynsmæssig konvergens og Single Rule book, fra erhvervsministeren

Erhvervsudvalget 2020-21
ERU Alm.del Bilag 331
Offentligt

Mairead McGuinness

Commissioner of Financial Stability, Financial Services and

Capital Markets Union

European Commission

MINISTER FOR INDUSTRY,

BUSINESS AND FINANCIAL

AFFAIRS

Response from the Danish Government to the

Commission’s targeted

consultation on the supervisory convergence and the single rulebook

Dear Commissioner McGuinness,

Thank you for the opportunity to respond to the Commission’s public con-

sultation on the supervisory convergence and the single rulebook.

Since the establishment of the ESAs in the aftermath of the financial crisis,

the ESAs have played a significant role in making the European financial

system more resilient.

The Danish Government fully supports the ESAs and believes they have a

proper framework and structure, allowing them to effectively develop the

Single Rulebook and work towards more consistency in regulatory and su-

pervisory matters across the European Union.

We appreciate the Commission's inclusive approach reflected by this con-

sultation and recognize the legal obligation for the Commission to conduct

and present a status report on the most recent changes from the 2019 ESA-

review by the end of 2021. However, the recent revision only came into

effect in 2020 and experiences with the changes introduced are therefore

limited. Moreover, the changes setting out direct supervisory competencies

at ESMA still have to enter into force at the beginning of 2022. Therefore,

it is premature to fully assess the effectiveness of all the changes.

It is also premature to contemplate broad or far-reaching changes to the

framework. The European Parliament and Council only recently agreed on

the ESA’s competencies, including a limited

transfer of powers from the

national level to the community level. We should not expect a very differ-

ent outcome from any new revision already at this point. Therefore, we

currently see no need for further major reforms of the ESAs.

In light of the many initiatives already undertaken and yet to come, in par-

ticular the coming new supervisory competencies with ESMA, considera-

tion of further allocation of direct supervisory competencies with the ESAs

should be based on a clear, evidence-based rationale. Consideration of fur-

ther initiatives should be based on a thorough analysis including i) evi-

dence of significant cross-border activity that cannot be adequately ad-

MINISTRY OF INDUSTRY, BUSI-

NESS AND FINANCIAL AFFAIRS

Slotsholmsgade 10-12

DK-1216 Copenhagen K

Tlf.

Fax

+45 33 92 33 50

+45 33 12 37 78

CVR-nr. 10 09 24 85

EAN nr. 5798000026001

[email protected]

www.em.dk

ERU, Alm.del - 2020-21 - Bilag 331: EMs høringssvar vedr. finansiel tilsynsmæssig konvergens og Single Rule book, fra erhvervsministeren

dressed by National Competent Authorities, ii) existence of significant di-

vergent approaches among NCAs and iii) consideration of the ESAs re-

sources to undertake the task.

The future work of the ESAs should be guided by the following principles:



The ESAs should be open and transparent.

Openness, transpar-

ency and proper stakeholder consultation will bring necessary le-

gitimacy to the work of the ESAs and strengthen the technical work

in level 2 and 3. This should be a focus point going forward.

The ESAs should focus on improving supervisory practices and

sound regulatory contributions.

The ESAs should continue to

contribute to high quality supervision, common practices, cooper-

ation and improving the EU legislation leveraging on the broad ex-

perience of the national authorities and stakeholders reached

through inclusive and open dialogue.

The ESAs should be technical experts.

The ESAs work should

reflect the division of tasks between the legislators in the EU. Leg-

islators make policy decisions in the form of level 1-legislation,

while the ESAs conduct work on technical matters in level 2 and 3

in respect of the political priorities.

The ESAs should be vigilant in reducing the administrative

burdens.

The Single Rulebook has expanded significantly over the

years. A key task for the future work of the ESAs should be to fur-

ther reduce the administrative burdens where possible, while ensur-

ing financial stability and a high level of investor protection.

The ESAs should support harmonisation of practices allowing

for the application of supervisory judgement.

The ESAs should

continue to strive for a level of harmonisation that is adequate to

ensure the desired outcomes and provides the necessary discretion

to NCAs to take into account their expertise, market specificities

and the principles of proportionality and risk based approaches ac-

cording to the relevant situations. The Single Rule book should be

less extensive and more principle based.



I am at your disposal for any questions or comments that you might have,

and I look forward to a fruitful dialogue on these important issues.

Yours sincerely,

Simon Kollerup