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Europe’s banking chief pledges to use new powers on oversight

The head of the European Union’s new banking authority has warned that he plans to use the “true power” of a single set of rules to impose more uniform oversight on banks.

The move potentially emasculates national regulators in EU member states, such as the UK’s Financial Services Authority. Some bankers fear it may harm innovation and competitiveness.

Andrea Enria, chairman of the European Banking Authority, said the financial crisis had highlighted the weakness of consensual efforts to co-ordinate banking regulation in Europe.

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