On Wednesday 23 July, the House of Lords Financial Services
Regulation Committee will hear evidence from two witnesses. They
will be giving evidence to the committee's inquiry into the
growth of private markets in the UK following regulatory capital
and liquidity reforms introduced after the 2008 financial crisis.
At 10.05am, the committee will hear from:
- Nicolas Véron, Senior Fellow at Bruegel and Senior Fellow at
the Peterson Institute for International Economics (PIIE).
At 11.15am, the committee will hear from:
- Professor Arthur E. Wilmarth, Jr., Professor Emeritus of Law
at George Washington University Law School.
These evidence sessions, which are open to the public, will be
held in Committee Room 2 of the House of Lords and streamed live
and on demand on Parliament TV.
Topics the committee is likely to cover in these sessions
include:
- Differences between the UK and EU/US in the implementation of
bank capital and liquidity requirements, particularly the
implementation of international standards introduced after the
2008 financial crisis.
- Differences between the UK and EU/US in the structure of
their banking sectors and variations in banks' risk appetite to
lend to SMEs and support growth in the wider economy.
- Benefits and risks to the EU and US economies of the growth
in global private markets, a subset of Non-Bank Financial
Intermediaries, and their interconnections with the EU and US's
banking sector.
- The extent to which market trends in the EU and US differ to
the UK, and to what extent these are driven by post-2008 reforms
to regulation.
- Central banks and regulators' visibility of the size of
private markets, their interconnections with the banking sector,
the transparency of valuations in private markets, and the
implications for regulation of potential financial stability
risks (spillover risks) arising from such interconnections.
- Whether there is a common understanding of what constitutes a
risk to financial stability, and whether the interconnections
between the banking sector and global private markets are
captured by this understanding.
