§ Mr. Chris SmithTo ask the Chancellor of the Exchequer what information he has received to date from the European Commission as to European Community proposals for cross-border banking activities and securities business; what the response of Her Majesty's Government has been; and if he will make a statement.
§ Mr. LilleyI understand that the European Commission has adopted a proposal for a directive on banking to put to the Council of Ministers. The directive deals with the conditions on which a bank authorised in one member state would be able to set up in or provide a range of core banking services into another member state on the strength of its home country authorisation. There have been preliminary discussions in a Commission working group, which the United Kingdom attended, but we have not yet seen the final proposals. They will be put before Parliament in the normal way.