Stuck in traffic: EU turf war holds up CCP resolution rules

Unsuitable rules for failed banks could be used to resolve French and German clearing houses

It’s the recurring nightmare for every driver on a narrow, winding country lane. A farm tractor in front slows the cars behind it to a crawl, and there’s nowhere to overtake it safely for miles ahead.

The G20 agreement at Pittsburgh in 2009 turned derivatives clearing houses into a new class of systemic institutions, requiring a carefully-designed regulatory regime to tackle their potential failure. The European Commission published a draft recovery and resolution framework for central counterp