Europe's lobby group for non-financial blue-chip firms look set for a second fight over European financial market reform after warning that new capital rules will hurt the real economy, by increasing the cost of funding and reducing the capacity to hedge risk.

The European Association of Corporate Treasurers sent an open letter to the European Commission dated 7 November, which said there was "grave concern across Europe over how European institutions take proper account of the real economy in their development of regulatory proposals".