The EBA is currently consulting on proposed Guidelines on remuneration policies and practices related to the sale and provision of retail banking products and services. The Guidelines will aim to reduce the miss-selling of financial products and services, which, according to the EBA, can be driven by poor policies and practices in those areas. The proposed Guidelines would apply to financial services employees who provide deposits, payment accounts, payment services and credit products to customers. The Guidelines, as proposed, extend to staff of credit institutions, creditors, credit intermediaries, electronic money institutions and payment institutions.

If adopted, the management bodies employing these individuals will be responsible for the design and monitoring of remuneration policies. Obligations will include taking the rights and interests of consumers into account in designing and monitoring policies, preventing conflicts of interest and applying specific criteria when determining variable remuneration levels. Employers must retain all documentation for auditing purposes.

Responses to the Consultation are expected by 22 March 2016.