EU urged to go it alone on capital for securitisations

With the Basel Committee split on how 'simple' securitisations should be treated in capital terms, banks are urging EU officials to go their own way if necessary, and some say the authorities are prepared to do just that

Different route: some bankers see EU divergence as inevitable

Europe could go its own way on the capital treatment of securitisations, if the Basel Committee on Banking Supervision fails to lighten the burden on the market. The committee is reviewing how European visions for a two-tier market of complex and simple transactions could be incorporated into its capital rules, but banks are not expecting any gifts.

"This area is regarded as so important by the authorities in Europe that I've heard senior people within the European regulatory community say if