A regulatory specialist that correctly predicted the impact of the European Union’s Mifid trading rules has warned UK banks over new liquidity standards the Financial Services Authority has proposed for introduction in October this year.

JWG-IT Group, a think tank that emerged to help European firms prepare for Mifid in November 2007, has responded to the FSA's consultative paper, which proposed new liquidity rules for UK banks one month ago, by outlining two key concerns in a report published today.