Myners hails success in the fight against European hedgie rules

Date: Tuesday, September 8, 2009

City minister Lord Myners yesterday said he had made progress in the fight against European plans to bring in strict rules that could devastate Londonís hedge fund industry, after he visited Brussels to lobby EU lawmakers.

Myners said he found the EU receptive to calls to rethink the proposals, which experts claim show a complete lack of understanding of how alternative investment funds work.

He said fund managers are still setting up funds in the City, signalling confidence in the UKís ability to negotiate concessions in the draft EU directive.

And he made a formal call for the EU to carry out an impact assessment, to gauge the potential damage the plans could do to European businesses.

The visit followed a similar trip last week by London Mayor Boris Johnson, who also said he had made progress.

It came after the Swedish government, which currently holds the EU presidency, published its own proposals to water down the planned rules.