FSA boss to head EU watchdog

A DIRECTOR of the UK’s Financial Services Authority (FSA) is set to take the reins at the new European super regulator in charge of financial and securities markets.

Verena Ross, currently director of the FSA’s international arm, was nominated to lead the Paris-based European Securities and Markets Authority (ESMA) by regulators from the 27 EU member states following an intense lobbying effort by Britain.

Chancellor George Osborne, who led the lobbying campaign, was concerned that none of the three new watchdogs would be run by a British regulator even though the City is Europe’s financial capital.

A German national, Ross has spent many years regulating the UK financial services sector. She started her career as an economist at the Bank of England, before becoming chief of staff for Sir Howard Davies between 1998 and 2000, when he was the inaugural chairman of the FSA.

Last month, there was fury in the City after three European career officials were handed the powerful chairmanships at each of the super regulators.