Lord Myners – 2016 Parliamentary Question to the HM Treasury

The below Parliamentary question was asked by Lord Myners on 2016-06-06.

To ask Her Majesty’s Government whether the financial regulators have completed their review of the risk algorithms to be used to permit cross-margining by central counterparties to facilitate the takeover of the London Stock Exchange by Deutsche Borse; whether the results of this review will be published, and whether any further steps will be taken to strengthen confidence in central clearing houses.

Lord O’Neill of Gatley

The timings of regulatory reviews of any proposal by a CCP to make significant changes to its margining arrangements would be a matter for the company and regulators acting in accordance with the relevant legislation. The Bank of England’s 2016 Annual Report on the supervision of financial market infrastructures, laid before Parliament on 4 March 2016, provides further information about ongoing regulatory initiatives in relation to CCPs.