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Simplifying EU banking prudential regulation and supervision: priorities and next steps​

Day 1 Afternoon

Wednesday 25 March

Location :

ROOM 2

Speakers

Public Authorities
Helmut Ettl
Executive Director & Acting Chair, EBA - Austrian Financial Market Authority (FMA)
Jonás Fernández Álvarez
MEP - Committee on Economic and Monetary Affairs, European Parliament
Karlheinz Walch
Director General Banking and Financial Supervision - Deutsche Bundesbank
Patrick Montagner
Member of the Supervisory Board, ECB Representative - Single Supervisory Mechanism (SSM)
Industry Representatives
Antony Jancic
Chief Executive Officer - Bank of America Europe DAC
Jessica Kaffren
Member of the Management Board - J.P. Morgan SE
Monica Lopez-Monis Gallego
Global Head of Supervisory and Regulatory Relation - Santander
Sofia Lindh Possne
Head of Group Regulatory Affairs - Swedbank

Session overview

Objectives

The session aims first to clarify what “simplification” should mean in practice in the context of EU banking prudential regulation and supervision, and how it differs from deregulation or capital relief. It will seek to identify where complexity no longer delivers proportional prudential benefits and where targeted simplification could enhance transparency, usability and effectiveness, without undermining financial stability, resilience or the integrity of the Single Rulebook.

Second, the session will assess whether current simplification initiatives are sufficiently strategic, coherent and evidence-based, including whether they adequately address the cumulative and combined effects of capital, leverage, liquidity and resolution requirements. It will also explore how simplification can contribute to competitiveness, operational efficiency and investor understanding, while preserving supervisory credibility and safeguards.

Finally, the session will examine the political and institutional conditions required for meaningful and lasting simplification. It will consider the extent to which simplification is constrained by the incomplete nature of the Banking Union, the distribution of responsibilities between EU and national authorities, and the interaction between political decision-making and technical rule-making. The objective is to move beyond slogans and clarify what simplification can realistically achieve, where its limits lie, and what governance choices are required to make it effective.

Points of discussion

  1. Where does prudential and supervisory complexity no longer deliver proportional benefits, and how far can simplification go without weakening resilience?
  2. Is meaningful and lasting simplification compatible with an incomplete Banking Union? What political, institutional and governance conditions are required to make simplification effective and credible?