“Bringing the Government in to run Wall Street is like saying ‘Dad burnt dinner, let’s get the dog to cook’.” - P.J. O'Rourke.The EU has decided that it should oversee the financial services sector after all the various scandals have emerged. Not surprising really, they are hardly likely to conclude that they are unnecessary are they?
This is the same EU that hasn't had the auditors sign off on their accounts for close to two decades but their judgment on the financial management of other organisations is supposed to be taken seriously. There isn't any obvious reason to believe that a cross border body would be more likely to behave like the best of the current national regulators rather than like the worst.
There is an upside for governments in that they will no longer have to beheld accountable for any financial disasters that occur so it will probably be welcomed with open arms but it won't make those disasters any more or less likely.