BBA and LIBA have responded to CEBS' consultation on hybrid capital instruments. They support a principles-based, substance over form approach to regulatory oversight of these instruments but also support a common understanding between regulators. They believe this approach properly places responsibility on senior management to ensure capital instruments comply with the spirit as well as the letter of relevant rules. The associations also think the proposed guidance on buy-backs goes beyond CEBS' remit, and say CEBS should at least wait for consensus from the Basel Committee before addressing this.