MacManus rejects “blank cheque” approach for banks in EU vote

Sinn Féin MEP Chris MacManus has said a vote to allow banks across the EU a break from strict regulations is a “blank cheque” because of rejected amendments around issues of bonuses and dividends.  MacManus stressed that the Covid19 crisis cannot allow regression of of hard won regulation of the financial sector.

MEP MacManus said:

“This week’s vote saw a missed opportunity to impose conditionality on banks benefiting on a loosening of the regulatory environment.  Sinn Féin backed amendments sought to impose a ban in bonuses and dividends on banks as workers and businesses struggle through the Covid crisis. Instead, the Parliament has written them a blank cheque.”

“The proposals allow for the waiving and loosening of technical rules that were designed to regulate banks and keep them from destroying the economy again. In short, they will now be allowed be less prudent in their actions and accounts.

MacManus warned that it felt like lessons had not been learned. “There is of course some logic in some easing of regulation as banks must play a role in forbearance and lending to help society weather this storm but to simply allow them additional scope without conditions shows many in Europe have not learned the lessons of the past.”

“To once again see Fine Gael and Fianna Fáil MEPs line up on the sides of bankers is an important reminder of where the new government’s priorities will always lie.” ENDS