WRITTEN QUESTION E-0629/01 by Theresa Villiers (PPE-DE) to the Commission. Lisbon European Council and financial services.
Date: 2001-03-06
Institutions: European Parliament, Provisional data
Subjects: European Council, financial market, free movement of capital, investment, investment transaction, single market, tax system

C 340 E/52

Official Journal of the European Communities

EN

4.12.2001

Reply

(10 July 2001)

The Council does not have the figures requested by the Honourable Member other than in the form
available to the public, and as from the International Institute for Strategic Studies.

(2001/C 340 E/060)

WRITTEN QUESTION E-0629/01

by Theresa Villiers (PPE-DE) to the Commission

Subject: Lisbon European Council and financial services

(6 March 2001)

1.
The 2000 Lisbon European Council stated that steps should be taken to facilitate the successful
participation of all investors in an integrated market eliminating barriers to investment in pension funds;
promoting further integration and better functioning of government bond markets through greater
consultation and transparency on debt issuing calendars, techniques and instruments, and improved
functioning of cross-border sale and repurchase (repo) markets; enhancing the comparability of companies(cid:146)
financial statements; and more intensive co-operation by EU financial market regulators. What steps have
been take in this regard?

2.
The 2000 Lisbon European Council stated that steps should be taken to (cid:145)ensure full implementation
of the Risk Capital Action Plan by 2003.(cid:146) Does the Commission believe this target will be met, and to what
evidence can it point to support its view?

3.
The 2000 Lisbon European Council stated that steps should be taken to (cid:145)conclude, in line with the
Helsinki European Council conclusions, the pending tax package.(cid:146) What steps have been taken in this
regard?

4.
The 2000 Lisbon European Council requested (cid:145)the Council and the Commission, using the existing
procedures, to present a report by Spring 2001 assessing the contribution of public finances to growth and
employment, and assessing, on the basis of comparable data and indicators, whether adequate concrete
measures are being taken in order to alleviate the tax pressure on labour (cid:133) redirect public expenditure
towards increasing the relative importance of capital accumulation (cid:133) [and] ensure the long-term
sustainability of public finances.(cid:146) When will this report be presented?

Answer given by Mr Solbes Mira on behalf of the Commission

(14 June 2001)

The conclusions of the Lisbon European Council (March 2000) afforded high priority to measures that
would help to complete the Internal market for financial services and to improve the efficiency of
Community financial markets. Several specific areas for action were identified in the conclusions and
important progress has been made in these areas over the past year.

to the implementation of

With respect
the Commission
presented on 11 October 2000 a proposal for a directive on institutions for occupational retirement
provision (1) (pension funds). One aim is to ensure that institutions enjoy sufficient freedom to develop an
effective investment policy. This will be a decisive step towards the elimination of barriers to investment in
pension funds.

the Financial Services Action Plan (FSAP),

The Commission presented on 13 February 2001 a proposal for a regulation (2) that would require all
Community companies listed on a regulated market, including banks and insurance companies, to prepare
consolidated accounts in accordance with International Accounting Standards (IAS). Member States would
have the option to extend this requirement to unlisted companies and to the production of individual
accounts. The Regulation would help eliminate barriers to cross-border trading in securities by enhancing
the comparability of companies(cid:146) financial statements.

4.12.2001

EN

Official Journal of the European Communities

C 340 E/53

More intensive co-operation by Community financial market regulators will be the result of an imminent
Commission proposal for a directive on financial conglomerates. The proposed directive will require the
appointment in individual cases of a co-ordinating supervisor. Another step towards closer co-operation
between regulators was taken by setting up the Round Table of Regulators, comprised of the Chairmen
and secretariats of all Community regulatory fora. This is an informal forum for the exchange of ideas and
experience in the field of financial regulation.

In the mean time, there have been several developments contributing to the integration and improved
functioning of government bond markets, notably the introduction of electronic trading in several of the
Member States. There has also been further progress in the co-ordination of issuing techniques/instruments
in the context of the Brouhns Group (3).
In addition, the proposed Directive on collateral (4) should
contribute to improving the functioning of the repro market.

remains rather

In October 2000, the Commission published a further Communication to the Council and the Parliament
reviewing progress in implementing the Risk Capital Action Plan (RCAP) (5). This Communication
confirmed progress in developing Community risk capital markets since the late 1990(cid:146)s, but noted that
the market
small and fragmented. The Communication noted the importance of
implementing those elements of the FSAP that are relevant to risk capital and pointed to actions already
taken e.g. in respect of prudential supervision of supplementary pension funds, harmonised accounting
standards etc. A number of priority areas for action at the national level were also highlighted, i.e. further
relaxation of regulatory constraints on institutional investment in equity markets, continued easing of the
administrative burdens on business have been lightened, removing major disincentive effects of bankruptcy
and insolvency procedures and accelerating relevant tax reforms. While progress in implementing the
RCAP is satisfactory, intensified efforts will be required if the deadline of 2003 (cid:129) as set by the Lisbon
European Council (cid:129) is to be met.

Considerable progress has been made towards concluding the tax package in line with the Helsinki
European Council
at
step was
Santa Maria da Feira in June 2000 on the way forward on the taxation of income from savings. Following
this, a comprehensive agreement was reached in the Ecofin Council meeting on 26-27 November 2000 on
all aspects of the tax package, with a view to seeing its final adoption in the Council by the end of 2002.

the European Council

conclusions. The

agreement

first

at

A report by Commission and Council on the contribution of public finances to growth and employment
was presented to the Stockholm European Council in March 2001. The joint report addresses issues such
as sustaining sound public finances, making tax and benefit systems more employment friendly and
redirecting public expenditure towards physical and human capital accumulation.

(1)

(2)

(cid:145)Proposal for a directive of the Parliament and the Council on the activities of institutions for occupational
retirement provisions(cid:146), COM(2000) 507 final.
(cid:145)Proposal for a regulation of the Parliament and the Council on the application of international accounting
standards(cid:146), COM(2001) 80 final.

(3) The Economic and Financial Committee Sub-Group on Community Government Bonds and Bills.
(4)

(cid:145)Proposal for a Directive from the Council and the European Parliament on financial collateral arrangements(cid:146),
COM(2001) 168 final.
(cid:145)Progress report on the Risk Capital Action Plan(cid:146), COM(2000) 658 final.

(5)

(2001/C 340 E/061)

WRITTEN QUESTION E-0631/01

by Eija-Riitta Korhola (PPE-DE) to the Council

(8 March 2001)

Subject: Revision of the rules on the expenses and allowances of Members of the European Parliament

The European Parliament has proposed revising the rules on Members(cid:146) expenses and allowances in such
a way as to indicate clearly and openly the amount of remuneration payable to Members and to refund
travelling expenses in accordance with actual costs.