Monthly Update (Sharon Bowles MEP)

Sharon Bowles MEP <info@sharonbowles.org.uk>

Sharon's report for November 2009

This was a big month for the new AIFM legislation, which is probably the biggest and most controversial item to cross my desk since I became ECON Chair in July. The Commission's proposal would regulate in one package all so-called 'alternative' investment funds - ie funds that do not already fall under existing EU legislation. This includes hedge funds and private equity, but also many other types of fund.

This was the month that the new Commission positions were announced. The big headlines revolved first around Herman van Rompuy and Catherine Ashton for Council President and Foreign Minister, and then around the French appointee Michel Barnier as Internal Market Commissioner, with responsibility for financial regulation. I met Mr. Barnier this month in advance of his appointment to discuss the upcoming agenda. The relationship between ECON Chair and the Internal Market Commissioner is an important one - not least because he has to appear before my committee for his appointment to be confirmed! Hearings on this will begin next month

As I have mentioned in previous monthly updates, a significant effort I have been making as ECON Chairwoman has been on the transatlantic relationship between the US Congress and European Parliament with regard to financial services. This month I went to Washington for bilateral talks with Congress, including Barney Frank, my direct counterpart as Chairman of the House Financial Services Committee. I also met with officials from the Obama administration and Chairs of the US regulatory authorities. While promises are made in G20 by governments, it is us in Parliament and Congress who must put such plans into action, so it is all the more necessary to have regular dialogue.

As Christmas approaches I have become aware of a problem preying upon Christmas shoppers in the form of unsolicted credit. A number of stores open large credit accounts for customers automatically upon the purchasing of goods. At a time of increasing personal debt, currently amounting to £230bn, many people now have credit they are unaware of and which they have been given without their consent.

My office have been in touch with the Citizens Advice Bureau and the National Debtline, who have confirmed the scale of the problem. I am starting a campaign on this problem and have been encouraging people to come forward with their stories - please get in touch with my office at info@sharonbowles.org.uk. I also raised this issue with the Chief Executive of the Financial Services Authority at a meeting in my office.

I also got the chance to attend the European Liberal Democrats' (ELDR) annual Congress, held in Barcelona this year. It was a great chance to meet with Liberals from across Europe, from inside the EU and in aspirant countries. Of particular interest to me were the debates on the resolution Liberal Answers For A New Prosperity.