BANKING

European Commission communication on completing the banking union

The European Commission has published a communication outlining its plans to complete the missing parts of the banking union. In the communication, the Commission calls for all parts of the banking union to be completed by 2018 and sets out a plan to ensure agreement on all the outstanding elements, based on existing commitments by the Council of the EU. The Commission believes that a complete banking union will promote a stable and integrated financial system in the EU, while limiting the need for public risk-sharing.

European Commission, 11 October 2017

 

EBA consults on draft ITS on reporting for resolution plans under BRRD

The EBA has published a consultation paper (EBA/CP/2017/15) on revised draft implementing technical standards (ITS) on reporting for resolution plans under Article 11(3) of the Bank Recovery and Resolution Directive (2014/59/EU) (BRRD). It has also published separately Annex I (Resolution templates), Annex II (Instructions) and a press release. Resolution authorities are required to draw up resolution plans for firms subject to the BRRD. Firms are expected to provide the necessary information to resolution authorities to enable them to prepare these plans. Article 11(3) of the BRRD mandates the EBA to draft ITS specifying procedures and a minimum set of standard forms and templates for the provision of this information by firms.

EBA, 11 October 2017

 

European Commission report on single supervisory mechanism

The European Commission has published a report on the single supervisory mechanism (SSM) that assesses the setting up and functioning of the SSM (SWD(2017)336). Alongside this, the Commission has also published a staff working document (SWD(2017)336). The report aims to determine the effectiveness of the SSM as the first pillar of the banking union and is part of a broader assessment of progress achieved in relation to the banking union. The report represents the first review by the Commission of the application of the Regulation establishing the SSM (Regulation 1024/2013) (SSM Regulation). 

European Commission, 11 October 2017

INSURANCE

Chancellor response to Treasury Committee letter on impact of Brexit on insurance contracts

The UK Parliament has published a letter from Philip Hammond, Chancellor of the Exchequer, to Nicky Morgan, House of Commons Treasury Committee Chair, on the impact of Brexit on cross-border insurance contracts.

UK Parliament, 11 October 2017

 

EIOPA final guidelines on complex insurance-based investment products under IDD

EIOPA has published its final guidelines on complex insurance-based investment products under the Insurance Distribution Directive ((EU) 2016/97) (IDD). An accompanying press release states that, according to the disclosure rules for packaged retail and insurance-based investment products (PRIIPs), where the associated risks of an IBIP are difficult to understand for customers, a comprehension alert has to be included in the key information document (KID) provided to the customer.

EIOPA, 11 October 2017