§ Mr. AllenTo ask the Secretary of State for Trade and Industry what proposals exist to harmonise the Securities and Investments Board and its Group of Seven equivalents; and if he will make a statement.
§ Mr. RedwoodNone. For legal and historical reasons, national regulatory regimes are very diverse. However, globalisation of financial markets is leading to a growing international awareness of the importance of increased co-operation between national regulators and enforcement agencies and of the need for mechanisms to ensure 137W that regulatory disparities do not hinder growth of cross-border trade. The Government, through the participation in the work of the International Organisation of Securities Commission and through direct contacts with other countries' governments and regulators, are seeking opportunities for moves towards arrangements for the mutual recognition of comparable regulatory regimes. The European Community is following a similar approach in the proposed investment services directive which will create the single European market in investment services.
§ Mr. AllenTo ask the Secretary of State for Trade and Industry what information he has on the Group of Seven organisations and the powers which are comparable to the five United Kingdom self-regulatory organisations responsible to the Securities and Investments Boards.
§ Mr. RedwoodI have extensive information on the regimes and powers of the securities regulatory authorities of the Group of Seven countries both through regular, frequent bilateral contact between my Department and these authorities and through the valuable work of international organisations such as IOSCO—the International Organisation for Securities Commissions.