Tonight:
2°c
French regulator will strangle us, City tells ministers
Paul Waugh, Deputy Political Editor27 Nov 2009
Ministers today sought to reassure the City that it will escape a wave of EU red tape after a Frenchman was given a key economic job.
Former French foreign minister Michel Barnier was this morning appointed European Commissioner for internal market.
He kept the important financial services portfolio despite British attempts to have it stripped from the post.
France has been pushing for tougher regulations of the banks in the wake of the financial crisis and Mr Barnier's appointment will spark fresh anxiety in the Square Mile.
Whitehall sources stressed there will be a "triple lock" on Mr Barnier launching a damaging assault on the City.
Senior Tory MP Michael Fallon, who sits on the Treasury select committee, said: "For the first time ever, we will have a Frenchman with his fingers on the City's throat.
"Gordon Brown has been completely outwitted at such a vulnerable time for the City."
Jonathan Faull, head of the commission's justice department, will take over as the director-general of internal market affairs.
A senior British official will also be appointed to lead on economic and financial issues in Commission president José Manuel Barroso's cabinet. A senior UK official will take a post in Mr Barnier's cabinet as well.
Mr Barroso is believed to have rejected British opposition to Mr Barnier gaining powers over financial services after intense lobbying from French president Nicolas Sarkozy.
Mr Barroso said: "I do not give portfolios to countries. I attribute them to individuals, to Europeans."
Business Secretary Lord Mandelson reportedly argued for Britain to hold out for an economic commissioner post rather than accepting Baroness Ashton as EU foreign affairs supremo.
Reader views (4)
Gordon Brown is an un-elected leader and now we have an un-elected person responsible for regulating our finance industry. So much for democracy
- Giles Hayes, Hove, East Sussex, 30/11/2009 07:33
Report abuse
Anybody want to take a bet on it being a German?
Down the drain goes the last source of UK independent income as the Germans take the pick of the finacial carcus from the UK.
- James, City of London, 27/11/2009 14:26
Report abuse
Time to call a halt to the unelected Eurocrats trying to run our economy for their benefit. Any sane person coming from Mars would think this is utter madness. It really is time for a new British government to call time on this madness and put Britain;s real interests first. Get the hell out of Iraq and Afghanistan, severely modify EU influence unilaterally and get on with fixing Britain for the British! Neither Norway nor Switzerland have suffered one iota from not pouring cash into the EU black hole, why not Britain?
- James Macleod Ritchie, Oyster Bay Cove, 27/11/2009 11:40
Report abuse
All unelectable, unaccountable positions. Ashton has NEVER been elected for any position any where. Labour have given this nation away lock, stock and barrel.
- Frank, Home Counties, England., 27/11/2009 09:34
Report abuse
