Financial market trade bodies have united to urge the European Commission to harmonise its members' approach to short-selling, following sporadic moves by individual countries moves to ban or hamper the practice.

The International Securities Lending Association and the Association for Financial Markets in Europe said today that proposals being considered by the European Commission, announced by Michel Barnier last week, to force greater transparency on short positions and allow temporary bans in member states were inconsistent and also disproportionate to potential risks.