HM Treasury has published a report, along with a review of the relevant literature, on the balance of competences between the UK and the EU on financial services and the free movement of capital, and whether the balance is appropriate to the national interest.
The consensus is that the balance of competences is broadly appropriate but undermined by poor policy making. To improve this, the EU should undertake significant reform of the existing EU policy-making framework and processes, take a more proportionate approach to legislation in all sub-sectors and give greater consideration to the principle of subsidiarity in retail market sectors.
The report is split into 5 chapters:
- chapter 1: development of EU competence;
- chapter 2: current state of competence;
- chapter 3: impact on the national interest;
- chapter 4: EU policy making process; and
- chapter 5: future options and challenges.
View Balance of competences review – responses, 22 July 2014