Regulating European financial markets between crisis and Brexit
Journal of Financial Regulation and Compliance
ISSN: 1358-1988
Article publication date: 18 June 2019
Issue publication date: 16 September 2020
Abstract
Purpose
This paper aims to demonstrate how the European regulatory structure of the financial markets has changed after the financial crisis. Drawing from these findings, it discusses how the regulatory system might change and be adapted to a post-Brexit financial market.
Design/methodology/approach
The paper takes a systematic/legal approach. First, it analyses the recent reform against the background of European law and corresponding research. In a second step, it discusses the implications of Brexit by examining policy and legal contributions.
Findings
The changes to the European regulatory and supervisory structure of the financial markets have proven to be a pacemaker for European administrative and treaty law. Long-standing principles have fundamentally changed. Brexit, on the other hand, even though equally severe might not lead to similar results.
Practical implications
The paper proposes a limited reform to the existing regulatory structure to consolidate developments, ease constitutional frictions and enable the regulatory authorities to react quickly to volatile markets via rule making.
Originality/value
The paper draws attention to an almost unnoticed development in European law. It also illustrates the effects of Brexit on the European financial markets.
Keywords
Acknowledgements
The author is indebted to all participants of the Conference “Timeliness and timelessness-Corporate governance and regulatory challenges after the financial crisis of 2007-2009 and Brexit” and especially Dr Alison Lui, LLM (LSE). The author thanks Dr Leonie Steinl, LLM (Columbia), for instructive comments.
This paper forms part of special section “Progression or regression: Regulatory and governance challenges after the global financial crisis and Brexit”, guest edited by Steve Letza, Gary Evans and Jens-Hinrich Binder.
Citation
Schemmel, J. (2020), "Regulating European financial markets between crisis and Brexit", Journal of Financial Regulation and Compliance, Vol. 28 No. 4, pp. 503-514. https://doi.org/10.1108/JFRC-04-2018-0057
Publisher
:Emerald Publishing Limited
Copyright © 2019, Emerald Publishing Limited