The European Banking Authority opened a consultation on 25 September on revised technical standards for joint supervisory decisions covering institution-specific prudential requirements. The process applies to cross-border banking groups overseen through supervisory colleges. Responses are due by 4 January 2027 at 23:59 CEST. The proposals remain a consultation and do not yet change binding requirements.
The existing standards were adopted under Commission Implementing Regulation (EU) No 710/2014 and set procedures, timelines and templates for joint capital and liquidity decisions. The EBA said its amendments reflect changes introduced by CRD V, revised Supervisory Review and Evaluation Process guidance and more than a decade of supervisory-college experience. The authority described the changes as targeted steps to streamline the process and align it with current practice.
ONE REPORT FOR PRUDENTIAL DECISIONS
The draft would streamline and simplify templates by introducing a single, reduced and integrated risk-assessment report. It would support a more holistic and coordinated assessment of institutions' prudential requirements and guidance and align the joint-decision process with the revised SREP framework. The scope would explicitly include Pillar 2 Guidance and leverage-ratio-related Pillar 2 requirements and guidance.
The standards govern cooperation between the consolidating supervisor and national authorities responsible for subsidiaries in other member states. They also shape how supervisors contribute to group risk assessments and joint-decision documents. The EBA proposal would more clearly incorporate qualitative supervisory measures into that shared process.
CONSULTATION CLOSES IN JANUARY
The EBA will hold a virtual public hearing on 10 November from 10:00 to 11:00 CEST, with registration due by 9 November at 16:00 CEST. It said consultation responses will be published after the process closes unless respondents request otherwise.
The EBA said the revisions aim to make the joint decision process more efficient and to further enhance the consistency of supervisory assessments and their communications to institutions. The next milestones are the November hearing, the January response deadline and the EBA's subsequent finalisation work.