Financial services could derail talks on EU-US free trade

Financial services have loomed as the first serious stumbling block ahead of the second round of negotiations on a EU-US free trade agreement.

With talks due to resume in Brussels next week, both sides were anxious to set out their stalls in separate sessions with the media.

While both are playing down apparent differences, there is clear divergence on what aspects to focus on, with the EU emphasising the need for agreement on specific sectors such as chemicals and cars, and the US keen to find ways of each recognising the other’s standards and regulations.