The Chairman: Nicolas Véron and Simon Gleeson, you are both very welcome to our
continuing investigation into the new framework. We will be very grateful to hear your
answers to our questions. As ever with the House of Lords, we will send you the transcript of
what takes place this morning. We ask you to check it to make sure that it is right and true,
and we also ask you to remain on the qui vive so that if you think of any brilliant answers
once you have left the room, you can send them to us—or, indeed, any updates as time
moves on quickly in terms of the investigation. As I say, we will then ask for those to be
corrected. We are being recorded and I should say to my colleagues to be aware of that. Any
asides that are made need to have the guarantee of being very interesting, otherwise you
should not make them at all.
Perhaps I could ask both of you for your overall assessment of what has been done in the
reforms since 2008, whether you think they have restored financial stability, in particular
whether you think the EU would be able to withstand a further asymmetric shock of any
kind, and indeed whether we have sufficient flexibility built into the new framework that is
developing. We will go on to look at many other questions related to this. Mr. Véron,
perhaps you could respond to this first point.