Europe’s clearing houses and stock exchanges have urged EU lawmakers not to introduce a dual‑layer supervisory system under the European Commission’s new Market Integration and Supervision Package (MISP) reforms reforms, warning that doing so would slow decision‑making and damage the bloc’s competitiveness.
In a joint statement, the European Association of CCP Clearing Houses (EACH) and the Federation of European Securities Exchanges (FESE) said entities designated for direct oversight should be supervised “directly and only” by ESMA. They rejected any model that shares powers between ESMA and national regulators, arguing it would “create a complex supervisory system that increases the amount of involved supervisors, thereby slowing down regulatory decisions while increasing costs.”
The groups also cautioned against proposals resembling a single resolution fund for central counterparties, stressing that CCPs are fundamentally different from banks. They pointed to the EU’s existing EMIR default waterfall and the bloc’s recovery and resolution regime, noting that CCPs already hold prefunded resources designed to absorb extreme losses without taxpayer support. “The prefunded CCP default fund already mutualizes potential losses,” the statement said.
EACH and FESE called for a “smooth and short” transition to any new supervisory framework and warned against temporary hybrid structures that could add further complexity.
Their intervention marks the first significant industry pushback to the EU’s attempt to streamline financial‑services oversight and strengthen Europe’s market infrastructure — a flagship initiative aimed at keeping the bloc competitive amid rapid global innovation.
