The Council would be open to a series of observers, like the Commission, the three authorities being created from the three Lamfalussy Committees (for banking, markets and insurance), and the 27 national supervisors. The ESRC will be able to issue recommendations aimed at identifying and correcting systemic vulnerabilities, while national supervisors would be responsible for the implementation.
As I mentioned previously, this model raises the issue of uniformity of treatment across the single market. The experience over the last years has shown that national authorities tend to use at their own discretion the room for manoeuvre that is available in the transposition of European legislation. This would also be the case for the recommendations of the ESRC.