The uk-eu relationship in financial services

particularly for avoiding the risks 
193 European Union (Withdrawal) Act 2018, 
sections 2–7
194 Linklaters, ‘Future regulatory framework: Treasury to reform regulation post-Brexit’, 
(9 November 2021): 
https://www.linklaters.com/en/knowledge/publications/alerts-newsletters-and-
guides/2021/november/09/future-regulatory-framework--treasury-to-reform-regulation-post-brexit
[accessed 7 June 2022]
195 
Q 52
 and 
Q 54
196 
Q 22
197 
Q 41
, 
Q 86
; see also 
Q 42
 (Peter Bevan) and written evidence from the City of London Corporation 
(
RFS0002
).
198 
Q 41
199 
Q 12
 (Miles Celic), 
Q 72
(Lord Hill of Oareford) and written evidence from the City of London 
Corporation (
RFS0002
)

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41
THE UK-EU RELATIONSHIP IN FINANCIAL SERVICES
associated with regulatory capture.
200
Stéphane Boujnah of Euronext, for 
example, described a “balance between what you gain in agility and what 
you lose in accountability and democratic input.”
201
157. Representatives of the regulators and the Government seemed alive to 
scrutiny and accountability considerations. Sam Woods, for example, said 
that “parliamentary accountability, clear objectives, public reporting and 
all those sorts of things are a very important control”.
202
In a similar vein, 
the Economic Secretary emphasised the need to “get the balance between 
the right of Parliament to call the regulators to account”, respecting “the 
credibility of regulators as independent, very professional and well-respected 
entities”, and “the freedom to move nimbly to deal quickly with some of the 
changes that emerge”.
203
158. Witnesses also cautioned that greater responsibilities would require regulators 
to have sufficient staff and resources and to undertake the additional work 
involved. Andrew Pilgrim of EY noted that “we have excellent regulators but 
they also risk being short on resources”.
204
159. Sam Woods told the Committee that, currently, the PRA had a “budgeted 
headcount … of 1,340 FTEs”
205
and that this “is enough to do the job”. 
He went on to comment, however, that: “We do, though, need to staff 
up if Parliament approves this proposal to give us a bigger rule-making 
responsibility … we are in a very challenging environment from a recruitment 
and retention point of view”.
206
Edwin Schooling Latter added that the FCA 
faced similar challenges.
207
160.