"This directive will help put an end to these excesses and foster responsible lending practices, " he added.

BBC: Tighter rules for mortgage lending agreed by EU

But a new EU-wide directive that could come into force at the end of this year will give regulators the power to impose penalties of up to 2% of a multinational's global annual turnover.

CNN: EU watchdogs need 'teeth' to clamp down on privacy breaches