Biba is fighting against EU control over broker disclosure. Can its protests bring some of the decision-making closer to home?
Biba really bared its teeth today, slamming Europe for “political interference” over broker disclosure.
Broker disclosure on commissions could be mandatory by 2019, instead of voluntary, which is what Biba wants.
Biba has criticised Europe for its “one size fits all” approach, and that this is surely one area that could be decided at national level.
The bigger picture, however, is that brokers and insurers better get used to more control from Europe.
Former Conservative leader Margaret Thatcher was seen as the arch anti-European sceptic but, ironically, it was she more than anyone else who pushed for the single market, a place where trade, capital and labour could flow freely without obstacles.
Thatcher’s argument was that it is better to be in Europe pushing for free trade, rather than stand aside and let Europe become a monolithic protectionist entity.
The coalition agree on this, and prime minister David Cameron has stated his intent to push ahead with the completion of the single market.
That will mean giving up domestic regulatory powers, and such arcane topics as to whether brokers should or should not have control over disclosing their commissions is one that will be decided at European level.
Barring a great catastrophe on the continent, the regulatory landscape for insurance companies, banks and pension funds is firmly in the control of Brussels, for better or for worse.
No pain, no gain
Aviva today announced that up to 10 jobs could go in its Southend engineering division.
Redundancies are always the most unpleasant aspect of any business decision.
‘Efficiency’ is all too often a euphemism for slashing jobs because revenue is drying up at the tills and the books need to be balanced.
However, it really does look like this is a simple efficiency play from Aviva.
The engineering division is powered by hubs in Birmingham, Leeds and Manchester, and corporate risks head David Hall is keen to grow it from about £500m up to a billion by 2015.
In all likelihood, this division will probably see job growth rather than job losses over the next five years.
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