1Directive (EU) 2026/806 of the European Parliament and of the Council of 30 March 2026 amending Directive 2014/59/EU as regards early intervention measures, conditions for resolution and funding of resolution action and Directive 2014/24/EU as regards valuation services in resolutionText with EEA relevance.

;

(b) the following paragraph is added:

1. EBA shall monitor the actions and preparation of resolution authorities to ensure the effective implementation of the resolution tools and powers in the event of resolution. EBA shall submit a report to the Commission on the state of play of existing practices and possible divergences across Member States by 11 May 2028.

The report referred to in the first subparagraph shall cover at least the following:

(a) the arrangements in place to implement the bail-in tool and the level of engagement with financial market infrastructures and third-country authorities, where relevant;

(b) the arrangements in place to put into operation other resolution tools;

(c) the level of transparency towards relevant stakeholders regarding the arrangements referred to in points (a) and (b).

;

(26) Article 40 is amended as follows:

(a) in paragraph 1, the introductory wording is replaced by the following:

In order to give effect to the bridge institution tool and having regard to the need to pursue any of the resolution objectives, Member States shall ensure that resolution authorities have the power to transfer to a bridge institution all of the following:

;

(b) in paragraph 2, the following subparagraph is added:

Without prejudice to the second subparagraph, where the application of the bail-in tool allows for the capital of the bridge institution to be fully provided through the conversion of bail-inable liabilities into shares or other types of capital instruments, the requirement that the bridge institution is wholly or partially owned by one or more public authorities referred to in the first subparagraph, point (a), may be waived.

;

(27) in Article 42(5), point (b) is replaced by the following:

(b) such a transfer is necessary to ensure the proper functioning of the institution under resolution, the bridge institution or the asset management vehicle itself; or

;

(28) Article 44 is amended as follows:

(a) paragraph 5 is replaced by the following:

1. The resolution financing arrangement may make a contribution as referred to in paragraph 4 where all of the following conditions are met:

(a) a contribution to loss absorption and recapitalisation equal to an amount not less than 8 % of the total liabilities including own funds of the institution under resolution, measured in accordance with the valuation provided for in Article 36, has been made by the shareholders and the holders of other instruments of ownership, the holders of relevant capital instruments and of other bail-inable liabilities through reduction, write-down or conversion pursuant to Article 48(1) and Article 60(1), and by the deposit guarantee scheme pursuant to Article 109 where relevant;

(b) the contribution of the resolution financing arrangement does not exceed 5 % of the total liabilities including own funds of the institution under resolution, measured in accordance with the valuation provided for in Article 36.

;

(b) in paragraph 7, the first subparagraph is replaced by the following:

In extraordinary circumstances, the resolution authority may seek further funding from alternative financing sources after:

(a) the resolution financing arrangement has made a contribution pursuant to paragraph 4 and the 5 % limit referred to in paragraph 5, point (b), has been reached; and

(b) all bail-inable liabilities that are not eligible deposits, that rank lower than the deposits referred to in Article 108(1), first subparagraph, point (b), and that have not been excluded from bail-in pursuant to paragraph 3 of this Article, have been written down or converted in full.

;

(29) in Article 44a, the following paragraph is added:

1. By 11 November 2027, EBA, in coordination with ESMA, shall submit a report to the Commission on the application of this Article. That report shall compare the measures adopted by the Member States to comply with this Article, analyse their effectiveness in protecting retail clients and assess their impact on cross-border operations. On the basis of that report, the Commission may submit a legislative proposal to amend this Directive.

;

(30) in Article 45, paragraph 1 is replaced by the following:

1. Member States shall ensure that institutions and entities referred to in Article 1(1), points (b), (c) and (d), meet, at all times, the requirements for own funds and eligible liabilities where required and as determined by the resolution authority in accordance with this Article and Articles 45a to 45i.

;

(31) Article 45b is amended as follows:

(a) the following paragraphs are inserted:

1a.

Resolution entities shall only include deposits in the amount of own funds and eligible liabilities where such inclusion has been authorised by the resolution authority in accordance with paragraph 1b and where those deposits meet all of the following conditions:

(a) the deposits meet all of the conditions set out in paragraph 1, first subparagraph;

(b) the deposits are not held by natural persons and micro, small and medium-sized enterprises;

(c) the deposits are term deposits with an original maturity of at least one year and do not confer upon the owner a right to early reimbursement even where the early reimbursement is subject to the payment of a penalty;

(d) the relevant contractual documentation explicitly refers to:

(i) the resolution entity’s intention to include the deposits in the amount of own funds and eligible liabilities;

(ii) the exclusion of the deposits from any repayment by a deposit guarantee scheme pursuant to Article 5(1), point (l), of Directive 2014/49/EU.

1b.

The resolution authority may authorise the resolution entity to fully or partially include deposits in the amount of own funds and eligible liabilities if it is satisfied that all of the following conditions are met:

(a) the resolution authority expects that those deposits would not be fully or partially excluded from bail-in pursuant to Article 44(3) or would not be transferred in full to a recipient under a partial transfer;

(b) the resolution authority has concluded that the inclusion is not, or is not likely to be, a substantive impediment to resolvability, in particular due to the impact on the feasibility of using resolution tools in a way that achieves the resolution objectives.

The resolution authority shall withdraw the authorisation where it concludes that one of the conditions referred to in the first subparagraph is no longer met. In that case, the resolution entity shall cease to include deposits in the amount of own funds and eligible liabilities.

;

(b) in paragraphs 4, 5 and 7, the term G-SIIs is replaced by the term G-SII entities;

(c) paragraph 8 is amended as follows:

(i) in the first subparagraph, the term G-SIIs is replaced by the term G-SII entities;

(ii) in the second subparagraph, point (c), the term G-SII is replaced by the term G-SII entity;

(iii) in the fourth subparagraph, the term G-SIIs is replaced by the term G-SII entities;

(d) the following paragraph is added:

1. The resolution authority may permit the resolution entity to comply with the requirements referred to in paragraphs 4, 5 and 7 using own funds or liabilities as referred to in paragraphs 1 and 3 where all of the following conditions are met:

(a) for entities that are G-SII entities or resolution entities that are subject to Article 45c(5) or (6), the resolution authority has not reduced the requirement referred to in paragraph 4 of this Article, pursuant to the first subparagraph of that paragraph;

(b) the liabilities referred to in paragraph 1 of this Article that do not meet the condition referred to in Article 72b(2), point (d), of Regulation (EU) No 575/2013 comply with the conditions set out in Article 72b(4), points (b) to (e), of that Regulation.

;

(32) Article 45c is amended as follows:

(a) in paragraph 2a, second subparagraph, point (b) is replaced by the following:

(b) liabilities that fulfil the eligibility criteria referred to in Article 72a of Regulation (EU) No 575/2013, except for Article 72b(2), points (b) and (d), of that Regulation, and, where applicable, in Article 45b(1a) of this Directive;

;

(b) in paragraph 3, eighth subparagraph, the words critical economic functions are replaced by the term critical functions;

(c) paragraph 4 is replaced by the following:

1. EBA shall develop draft regulatory technical standards specifying the methodology to be used by resolution authorities to estimate the requirement referred to in Article 104a of Directive 2013/36/EU and the combined buffer requirement, for the purpose of determining the requirement referred to in Article 45(1) of this Directive and exercising the powers referred to in Article 16a of this Directive, for the following entities:

(a) resolution entities at the consolidated resolution group level, where the resolution group is not subject to those requirements under Directive 2013/36/EU;

(b) entities that are not themselves resolution entities, where the entity is not subject to those requirements under Directive 2013/36/EU on the same basis as the requirements referred to in Article 45f of this Directive.

EBA shall submit those draft regulatory technical standards to the Commission by 11 May 2027.

Power is delegated to the Commission to supplement this Directive by adopting the regulatory technical standards referred to in the first subparagraph of this paragraph in accordance with Articles 10 to 14 of Regulation (EU) No 1093/2010.

;

(d) the following paragraph is inserted:

6a.

For resolution entities that are part of a resolution group the total assets of which exceed EUR 30 billion and the preferred resolution strategy of which envisages primarily the application of the sale of business tool or the bridge institution tool and its exit from the market, the level of the requirement referred to in paragraph 3 of this Article shall be at least equal to:

(a) 15 % when calculated in accordance with Article 45(2), point (a); and

(b) 4,5 % when calculated in accordance with Article 45(2), point (b).

The first subparagraph of this paragraph shall not apply to resolution entities the preferred resolution strategy of which envisages the application of the bail-in tool for the purpose of Article 43(2), point (a), independently or in combination with other resolution tools.

;

(e) in paragraph 7, eighth subparagraph, the words critical economic functions are replaced by the term critical functions;

(33) in Article 45d(1), the introductory wording is replaced by the following:

The requirement referred to in Article 45(1) for a resolution entity that is a G-SII entity shall consist of the following:

;

(34) Article 45f is amended as follows:

(a) paragraph 1 is amended as follows:

(i) the third subparagraph is replaced by the following:

By way of derogation from the first and second subparagraphs of this paragraph, Union parent undertakings that are not themselves resolution entities, but are subsidiaries of third-country entities, shall comply with the requirements laid down in Articles 45c and 45d on a consolidated basis.

;

(ii) the fifth subparagraph is replaced by the following:

For resolution groups identified in accordance with Article 2(1), point (83b)(b), those credit institutions or financial institutions that are permanently affiliated to a central body, but are not themselves resolution entities, a central body which is not itself a resolution entity, and any resolution entities that are not subject to a requirement under Article 45e(3), shall comply with Article 45c(7) on an individual basis.

;

(b) in paragraph 2, point (a), point (ii) is replaced by the following:

(ii) that fulfil the eligibility criteria referred to in Article 72a of Regulation (EU) No 575/2013, except for Article 72b(2), points (b), (c), (k), (l) and (m), and Article 72b(3), (4) and (5) of that Regulation, and, where applicable, in Article 45b(1a) of this Directive;

;

(35) Article 45g is replaced by the following:

Article 45g

Waiver for a central body, or for credit institutions or financial institutions permanently affiliated to a central body

The resolution authority may partially or fully waive the application of Article 45f in respect of a central body, or of a credit institution or a financial institution that is permanently affiliated to a central body, where all of the following conditions are met:

(a) the credit institution or the financial institution and the central body are subject to supervision by the same competent authority, are established in the same Member State and are part of the same resolution group;

(b) the commitments of the central body and its permanently affiliated credit institutions or financial institutions are joint and several liabilities, or the commitments of its permanently affiliated credit institutions or financial institutions are entirely guaranteed by the central body;

(c) the minimum requirement for own funds and eligible liabilities, and the solvency and liquidity of the central body and of all the permanently affiliated credit institutions or financial institutions are monitored as a whole on the basis of the consolidated accounts of those institutions;

(d) in the case of a waiver for a credit institution or a financial institution that is permanently affiliated to a central body, the management of the central body is empowered to issue instructions to the management of the permanently affiliated institutions;

(e) the relevant resolution group complies with the requirement referred to in Article 45e(3); and

(f) there is no current or foreseen material practical or legal impediment to the prompt transfer of own funds or repayment of liabilities between the central body and the permanently affiliated credit institutions or financial institutions in the event of resolution.

;

(36) Article 45i is amended as follows:

(a) in paragraph 3, the following subparagraph is added:

Entities shall disclose the information required under this paragraph in accordance with the arrangements set out in Article 128b.

;

(b) paragraphs 5 and 6 are replaced by the following:

1. EBA shall develop draft implementing technical standards specifying:

(a) the methods and arrangements for reporting the information referred to in paragraphs 1 and 2;

(b) the frequency and submission deadlines of the reporting referred to in point (a).

The draft implementing technical standards shall specify a standardised way of providing information on the ranking of items referred to in paragraph 1, point (c), applicable in national insolvency proceedings in each Member State.

For institutions and entities referred to in Article 1(1), points (b), (c) and (d), of this Directive that are subject to Articles 92a and 92b of Regulation (EU) No 575/2013, such draft implementing technical standards shall, where appropriate, be made consistent with the implementing act adopted pursuant to Article 430 of that Regulation.

EBA shall submit those draft implementing technical standards to the Commission by 11 May 2027.

Power is conferred on the Commission to adopt the implementing technical standards referred to in the first subparagraph of this paragraph in accordance with Article 15 of Regulation (EU) No 1093/2010.

5a.

EBA shall develop IT solutions, including reporting templates, data standards, formats and instructions, for reporting the information referred to in paragraphs 1 and 2.

1. EBA shall develop draft implementing technical standards specifying:

(a) the methods and arrangements for disclosures referred to in paragraph 3;

(b) the frequency of the disclosures.

The draft implementing technical standards shall convey sufficiently comprehensive and comparable information to assess the risk profiles of institutions and entities referred to in Article 1(1), points (b), (c) and (d), and their degree of compliance with the applicable requirement referred to in Article 45e or 45f.

For institutions and entities referred to in Article 1(1), points (b), (c) and (d), of this Directive that are subject to Articles 92a and 92b of Regulation (EU) No 575/2013, the draft implementing technical standards shall, where appropriate, be made consistent with the implementing act adopted pursuant to Article 434a of that Regulation.

EBA shall submit those draft implementing technical standards to the Commission by 11 May 2027.

Power is conferred on the Commission to adopt the implementing technical standards referred to in the first subparagraph of this paragraph in accordance with Article 15 of Regulation (EU) No 1093/2010.

6a.

EBA shall develop IT solutions, including disclosure formats and instructions, for the disclosures referred to in paragraph 3.

;

(37) in Article 45j, paragraph 2 is replaced by the following:

1. EBA shall develop draft implementing technical standards specifying:

(a) the methods and arrangements for the identification and reporting of information by resolution authorities, in cooperation with competent authorities, to EBA for the purposes of paragraph 1;

(b) the frequency and submission deadlines of the reporting referred to in point (a).

EBA shall submit those draft implementing technical standards to the Commission by 11 May 2027.

Power is conferred on the Commission to adopt the implementing technical standards referred to in the first subparagraph of this paragraph in accordance with Article 15 of Regulation (EU) No 1093/2010.

1. EBA shall develop IT solutions, including reporting templates, data standards, formats and instructions, for reporting the information referred to in paragraph 1.

;

(38) Article 45l(3), the second subparagraph is replaced by the following:

The report referred to in paragraph 2 shall cover three calendar years and shall be submitted to the Commission by 31 December of the calendar year following the last year covered by the report. The obligation referred to in paragraph 2 shall cease to apply after the second report is submitted.

;

(39) Article 45m is amended as follows:

(a) paragraphs 1 and 2 are replaced by the following:

1. Member States shall ensure that resolution authorities may determine appropriate transitional periods, not longer than three years, for institutions or entities referred to in Article 1(1), point (b), (c) or (d), to comply with the requirements laid down in Article 45e or 45f or with the requirements that result from the application of Article 45b(4), (5) or (7), as appropriate, where compliance with those requirements without a transitional period would not be proportionate.

The resolution authority may determine intermediate target levels for the requirements laid down in Article 45e or 45f or for the requirements that result from the application of Article 45b(4), (5) or (7), as appropriate, that an institution or entity shall comply with at a date set by the resolution authority. The intermediate target levels shall, as a rule, ensure a linear build-up of own funds and eligible liabilities towards the requirement.

1. By way of derogation from paragraph 1 of this Article, the transitional period determined by resolution authorities for an institution or entity referred to in Article 1(1), point (b), (c) or (d), for which the preferred resolution strategy changes from winding up under normal insolvency proceedings to the application of resolution action shall not exceed four years.

Where duly justified and appropriate on the basis of the criteria referred to in paragraph 7, the resolution authority may determine a longer transitional period of up to six years.

The resolution authority may determine intermediate target levels for the requirement referred to in Article 45e or for the requirements that result from the application of Article 45b(4), (5) or (7), as appropriate, that the institution or entity shall comply with at a date set by the resolution authority. The intermediate target levels shall, as a rule, ensure a linear build-up of own funds and eligible liabilities towards the requirement.

;

(b) paragraph 4 is replaced by the following:

1. The requirements referred to in Article 45b(4) and (7) and in Article 45c(5) and (6), as applicable, shall not apply within the three-year period following the date on which the resolution entity or the group of which the resolution entity is part has been identified as a G-SII or a non-EU G-SII, or the resolution entity starts to be in the situation referred to in Article 45c(5) or (6).

;

(40) in Article 46(2), the first subparagraph is replaced by the following:

The assessment referred to in paragraph 1 of this Article shall establish the amount by which bail-inable liabilities need to be written down or converted for the following purposes:

(a) to restore the Common Equity Tier 1 capital ratio of the institution under resolution or, where applicable, establish the ratio of the bridge institution, taking into account any contribution of capital by the resolution financing arrangement made pursuant to Article 101(1), point (d), of this Directive;

(b) to sustain sufficient market confidence in the institution under resolution or the bridge institution, taking into account any liabilities that could arise in the future from an uncertain event or liabilities of uncertain timing or amount which have not been written down or converted, and enable that institution to continue to meet, for at least one year, the conditions for authorisation and to continue to carry out the activities for which it is authorised under Directive 2013/36/EU or 2014/65/EU.

;

(41) Article 47(1) is amended as follows:

(a) point (a) is replaced by the following:

(a) cancel existing shares or other instruments of ownership or transfer them to:

(i) creditors whose claims are converted into shares or other types of capital instruments;

(ii) the purchaser, when applying this paragraph in combination with the sale of business tool; or

(iii) a bridge institution, when applying this paragraph in combination with the bridge institution tool;

;

(b) point (b)(i) is replaced by the following:

(i) relevant capital instruments and eligible liabilities in accordance with Article 59 issued by the institution under resolution pursuant to the power referred to in Article 59(2); or

;

(42) Article 52 is amended as follows:

(a) in paragraph 1, the following subparagraph is added:

In exceptional circumstances, the resolution authority may extend the one-month deadline for submission of the business reorganisation plan by another month.

;

(b) in paragraph 5, the following subparagraph is added:

The resolution authority may require the institution or entity referred to in Article 1(1), point (b), (c) or (d), to include additional elements in the business reorganisation plan.

;

(43) Article 53 is amended as follows:

(a) paragraphs 3 and 4 are replaced by the following:

1. Where a resolution authority reduces to zero the principal amount of, or outstanding amount payable in respect of, a liability, including a liability of uncertain timing or amount, by means of the power referred to in Article 63(1), point (e), that liability and any obligations or claims arising in relation to it that are not accrued at the time when the power is exercised, shall be treated as discharged for all purposes, and shall not be provable in any subsequent proceedings in relation to the institution under resolution or any successor entity in any subsequent winding up.

1. Where a resolution authority reduces in part, but not in full, the principal amount of, or outstanding amount payable in respect of, a liability, including a liability of uncertain timing or amount, by means of the power referred to in Article 63(1), point (e):

(a) the liability shall be discharged to the extent of the amount reduced;

(b) the relevant instrument or agreement that created the original liability shall continue to apply in relation to the residual principal amount of, or outstanding amount payable in respect of the liability, subject to any modification of the amount of interest payable to reflect the reduction of the principal amount, and any further modification of the terms that the resolution authority might make by means of the power referred to in Article 63(1), point (j).

;

(b) the following paragraph is added:

1. For the purposes of paragraphs 3 and 4, the discharge of the liability of uncertain timing or amount and of any claims arising in relation to it shall be effective if and once the relevant liability is conclusively determined in terms of timing and amount or the claim related to it has arisen.

;

(44) Article 55 is amended as follows:

(a) paragraphs 1 and 2 are replaced by the following:

1. Member States shall require institutions and entities referred to in Article 1(1), points (b), (c) and (d), to include a contractual term specifying that the creditor or party to the agreement or instrument creating a relevant capital instrument or a bail-inable liability recognises that that instrument or liability may be subject to write- down and conversion powers and agrees to be bound by any reduction of the principal or outstanding amount due, conversion or cancellation that is effected by the exercise of those powers by a resolution authority, provided that that instrument or liability complies with all of the following conditions:

(b) the instrument or liability is not a deposit as referred to in Article 108(1), point (b);

(c) the instrument or liability is governed by the law of a third country;

(d) the instrument or liability is issued or entered into after the date on which a Member State applies the provisions adopted in order to transpose this Section.

The first subparagraph shall not apply where the resolution authority of a Member State determines that the instruments or liabilities referred to therein can be subject to write-down and conversion powers by the resolution authority of a Member State pursuant to the law of a third country or to a binding agreement concluded with that third country.

1a.

The requirement laid down in paragraph 1 shall not apply to liquidation entities or to subsidiaries of a resolution entity or of a third-country entity which are not themselves resolution entities.

The instruments or liabilities of the entities referred to in the first subparagraph of this paragraph that meet the conditions referred to in paragraph 1, first subparagraph, of this Article and which do not include the contractual term referred to in that paragraph shall not be counted towards the requirement referred to in Article 45(1).

By way of derogation from the first subparagraph of this paragraph, resolution authorities may decide that the requirement laid down in paragraph 1 applies to the following entities:

(a) a liquidation entity for which the resolution authority has determined the requirement referred to in Article 45(1);

(b) a subsidiary of a resolution entity or of a third-country entity which is not itself a resolution entity.

1. Member States shall ensure that where an institution or entity referred to in Article 1(1), point (b), (c) or (d), determines that it is legally or otherwise impracticable to include in the contractual provisions governing a relevant liability a term required pursuant to paragraph 1 of this Article, the requirement to include that term does not apply.

Where, within a class of liabilities which includes eligible liabilities, the amount of liabilities that do not include the contractual term required pursuant to paragraph 1 of this Article amounts to more than 10 % of that class, the institution or entity referred to in Article 1(1), point (b), (c) or (d), shall notify the resolution authority thereof. That institution or entity shall include in such notification the designation of the class of the liabilities which, pursuant to the first subparagraph of this paragraph, do not include that contractual term and the justification therefor. That institution or entity shall also provide the resolution authority with all information that the resolution authority requests, within a reasonable timeframe following receipt of the notification. The resolution authority shall assess the impact of that information on the resolvability of that institution or entity, including the impact on the resolvability resulting from the risk of breaching the creditor safeguards provided for in Article 73 when applying write-down and conversion powers to eligible liabilities.

In the event that the resolution authority concludes that it is not legally or otherwise impracticable to include in the contractual provisions a term required pursuant to paragraph 1, taking into account the need to ensure the resolvability of the institution or entity, it may require, within a reasonable timeframe, the inclusion of such contractual term. The resolution authority may, in addition, require the institution or entity to amend its practices concerning the application of the exemption from contractual recognition of bail-in.

The liabilities referred to in the first subparagraph of this paragraph shall not include Additional Tier 1 instruments, Tier 2 instruments and debt instruments referred to in Article 2(1), point (48)(ii), where those instruments are unsecured liabilities. Moreover, the liabilities referred to in the first subparagraph of this paragraph shall be senior to the liabilities that meet the conditions set out in Article 108(2).

Where the resolution authority concludes that the liabilities which do not include the contractual term required pursuant to paragraph 1 of this Article create a substantive impediment to resolvability, it shall apply the powers provided for in Article 17, as appropriate, to remove that impediment to resolvability.

Liabilities for which the institution or entity referred to in Article 1(1), point (b), (c) or (d), fails to include in the contractual provisions the term required pursuant to paragraph 1 of this Article or for which, in accordance with this paragraph, that requirement does not apply, shall not be counted towards the minimum requirement for own funds and eligible liabilities.

;

(b) in paragraph 6, first subparagraph, points (b) and (c) are deleted;

(c) paragraph 8 is deleted;

(45) Article 59 is amended as follows:

(a) paragraph 3 is amended as follows:

(i) the introductory wording is replaced by the following:

Member States shall require that resolution authorities exercise the write-down or conversion power, in accordance with Article 60 and without delay, in relation to relevant capital instruments, and eligible liabilities as referred to in paragraph 1a of this Article, issued by an institution or entity referred to in Article 1(1), point (b), (c) or (d), and taking into consideration the need to implement effectively the write-down or conversion power or, where applicable, the resolution strategy for the resolution group, where one or more of the following circumstances apply:

;

(ii) point (e) is replaced by the following:

(e) extraordinary public financial support is required by the institution or entity referred to in Article 1(1), point (b), (c) or (d), except where that support is granted in one of the forms referred to in Article 32c.

;

(b) in paragraph 4, point (b) is replaced by the following:

(b) having regard to timing and other relevant circumstances, there is no reasonable prospect that any action, including alternative private sector measures, supervisory action or early intervention measures, other than the write-down or conversion of relevant capital instruments, and eligible liabilities as referred to in paragraph 1a of this Article, would prevent the failure of the institution or the entity referred to in Article 1(1), point (b), (c) or (d), or the group within a reasonable timeframe.

;

(46) Article 63 is amended as follows:

(a) paragraph 1 is amended as follows:

(i) point (m) is replaced by the following:

(m) the power to require the relevant authority to assess the acquirer of a qualifying holding in a timely manner by way of derogation from the time-limits referred to in Article 31 of Regulation (EU) No 648/2012, Article 27a of Regulation (EU) No 909/2014 of the European Parliament and of the Council

Regulation (EU) No 909/2014 of the European Parliament and of the Council of 23 July 2014 on improving securities settlement in the European Union and on central securities depositories and amending Directives 98/26/EC and 2014/65/EU and Regulation (EU) No 236/2012 (OJ L 257, 28.8.2014, p. 1, ELI: http://data.europa.eu/eli/reg/2014/909/oj).

, Article 11 of Directive 2009/65/EC, Article 58 of Directive 2009/138/EC, Article 22 of Directive 2013/36/EU and Article 12 of Directive 2014/65/EU, and from any time-limits set out in national laws transposing Article 6 of Directive (EU) 2015/2366 of the European Parliament and of the Council

Directive (EU) 2015/2366 of the European Parliament and of the Council of 25 November 2015 on payment services in the internal market, amending Directives 2002/65/EC, 2009/110/EC and 2013/36/EU and Regulation (EU) No 1093/2010, and repealing Directive 2007/64/EC (OJ L 337, 23.12.2015, p. 35, ELI: http://data.europa.eu/eli/dir/2015/2366/oj).;

.

(ii) the following subparagraph is added:

Where the powers referred to in the first subparagraph, point (e) or (f), are exercised with respect to liabilities of uncertain timing or amount, the reduction or conversion shall be effective if and once the relevant liability is conclusively determined in terms of timing and amount or the claim related to it has arisen.

;

(b) in paragraph 2, point (a) is replaced by the following:

(a) subject to Article 3(6) and Article 85(1) of this Directive, requirements to obtain approval or consent from any person either public or private, including the shareholders or creditors of the institution under resolution and the competent authorities for the purposes of Articles 22 to 27 of Directive 2013/36/EU;

;

(47) in Article 71a, paragraph 3 is replaced by the following:

1. Paragraph 1 shall apply to any financial contract which complies with all of the following conditions:

(a) the contract creates a new obligation, or materially amends an existing obligation after the entry into force of the provisions adopted at national level to transpose this Article;

(b) the contract provides for the exercise of one or more termination rights or rights to enforce security interests to which Article 33a, 68, 69, 70 or 71 would apply if the financial contract were governed by the laws of a Member State.

;

(48) in Article 74(2), point (a) is replaced by the following:

(a) the treatment that shareholders and creditors, or the relevant deposit guarantee schemes in the cases referred to in Article 109(1), point (a), and Article 109(6), would have received if the institution under resolution with respect to which the resolution action or actions have been effected had entered normal insolvency proceedings at the time when the decision referred to in Article 82 was taken;

;

(49) Article 75 is replaced by the following:

Article 75

Safeguard for shareholders and creditors

Member States shall ensure that if the valuation carried out under Article 74 determines that any shareholder or creditor referred to in Article 73, or the deposit guarantee scheme in the cases referred to in Article 109(1), point (a), and Article 109(6), has incurred greater losses than it would have incurred in a winding up under normal insolvency proceedings, it is entitled to the payment of the difference from the resolution financing arrangements.

;

(50) in Article 84, the following paragraph is inserted:

6a.

This Article shall not preclude the exchange of information between resolution authorities and tax authorities in the same Member State, in accordance with national law. Where the information originates in another Member State, it shall only be exchanged with the express consent of the relevant authority which has disclosed it.

;

(51) the following articles are inserted in Chapter VIII:

Article 84a

Information held by centralised automated mechanisms

1. Member States shall ensure that the authorities operating the centralised automated mechanisms established pursuant to Article 32a of Directive (EU) 2015/849 of the European Parliament and of the Council

Directive (EU) 2015/849 of the European Parliament and of the Council of 20 May 2015 on the prevention of the use of the financial system for the purposes of money laundering or terrorist financing, amending Regulation (EU) No 648/2012 of the European Parliament and of the Council, and repealing Directive 2005/60/EC of the European Parliament and of the Council and Commission Directive 2006/70/EC (OJ L 141, 5.6.2015, p. 73, ELI: http://data.europa.eu/eli/dir/2015/849/oj).;

provide resolution authorities, upon their request, with information related to the aggregated number of customers for which an institution or entity referred to in Article 1(1), point (b), (c) or (d), of this Directive is the only or principal banking partner.

1. Member States shall ensure that resolution authorities request the information referred to in paragraph 1 only on a case-by-case basis and where necessary and proportionate for the purpose of performing their tasks under this Directive.

Article 84b

Confidentiality of inside information

1. Member States shall ensure that, when exercising the powers under Article 30a(3), (4) and (5), of this Directive or carrying out a valuation in accordance with Article 36 of this Directive, resolution authorities have the power to require the institution or entity referred to in Article 1(1), point (b), (c) or (d), of this Directive to take all necessary measures to ensure the confidentiality of inside information, as referred to in Article 7 of Regulation (EU) No 596/2014, on the preparation for resolution, until the resolution authority deems that confidentiality is no longer necessary to achieve the resolution objectives.

1. Member States shall ensure that, when taking resolution action or exercising the power to write down or convert relevant capital instruments and eligible liabilities in accordance with Article 59 of this Directive, resolution authorities have the power to require the institution or entity referred to in Article 1(1), point (b), (c) or (d), of this Directive to take all necessary measures to ensure the confidentiality of inside information, as referred to in Article 7 of Regulation (EU) No 596/2014, on the resolution process or the write-down or conversion in accordance with Article 59 of this Directive, until the resolution authority deems that confidentiality is no longer necessary to achieve the resolution objectives.

1. The resolution authority shall inform the institution or entity referred to in Article 1(1), point (b), (c) or (d), as soon as it deems that compliance with the requirement to take all necessary measures to ensure confidentiality of inside information in accordance with paragraphs 1 and 2 of this Article is no longer necessary to achieve the resolution objectives.

1. During the period in which the institution or entity referred to in Article 1(1), point (b), (c) or (d), of this Directive is required to take all necessary measures to ensure the confidentiality of inside information in accordance with paragraphs 1 and 2 of this Article, Article 17(1) of Regulation (EU) No 596/2014 shall not apply.

1. Where a resolution authority requires an institution or entity referred to in Article 1(1), point (b), (c) or (d), of this Directive to take all necessary measures to ensure the confidentiality of inside information in accordance with paragraph 1 or 2 of this Article, or where a resolution authority informs that institution or entity that confidentiality is no longer necessary to achieve the resolution objectives, that authority shall inform the competent authority specified in the delegated acts adopted pursuant to Article 17(3) of Regulation (EU) No 596/2014 as soon as possible.

1. The institution or entity referred to in Article 1(1), point (b), (c) or (d), of this Directive may disclose the inside information referred to in paragraphs 1 and 2 of this Article to a third party in the normal course of the exercise of an employment, a profession or duties, as set out in Article 10(1) of Regulation (EU) No 596/2014, only if the person receiving that inside information owes a duty of confidentiality, regardless of whether such duty is based on a law, on regulations, on articles of association, or on a contract and ensures that that information is kept confidential for the purposes of paragraphs 1 and 2 of this Article.

1. Where, despite the necessary measures taken to ensure the confidentiality of inside information in accordance with paragraph 1 or 2 of this Article, the confidentiality of that information is no longer ensured, the institution or entity referred to in Article 1(1), point (b), (c) or (d), shall disclose the inside information to the public as soon as possible. This paragraph shall include situations where a rumour explicitly relates to that inside information and that rumour is sufficiently accurate to indicate that the confidentiality of that information is no longer ensured.

(52) Article 88 is amended as follows:

(a) paragraph 2 is amended as follows:

(i) point (g) is replaced by the following:

(g) the designated authorities of the deposit guarantee schemes to which the credit institutions that are part of the group are affiliated.

;

(ii) the following subparagraph is added:

For the purposes of the first subparagraph, point (b), of this paragraph, where the subsidiary is a financial institution referred to in Article 1(1), point (b), and is also a liquidation entity, the resolution authority of that subsidiary shall decide whether it intends to be a member of the resolution college. If the resolution authority of such a subsidiary considers that membership is not needed, it shall seek the consent of the group-level resolution authority for ceasing to be a member. The group-level resolution authority shall consent to the cessation of membership unless continued membership is necessary for the proper and effective functioning of the resolution college. In the case of material changes which have the potential to affect the credibility of insolvency proceedings, the resolution authority of such a subsidiary shall notify the group-level resolution authority of the need to restore its membership of the resolution college. The group-level resolution authority shall, upon receipt of such notification, restore that membership.

;

(b) the following paragraph is inserted:

6a.

To facilitate the carrying out of the tasks referred to in Article 10(1), Article 15(1) and Article 17(1) and in order to exchange any relevant information, a resolution college may be established:

(a) in the case of an institution with one or more significant branches located in other Member States, by the resolution authority of that institution;

(b) in the case of a group composed of a parent undertaking and its subsidiaries, which are established in the same Member State, and of significant branches, one or more of which are located in other Member States, by the resolution authority of that parent undertaking.

The resolution authority of the Member State where the institution or the parent undertaking referred to in the first subparagraph of this paragraph is established shall chair the resolution college and establish appropriate rules for its functioning, after consulting the other resolution authorities. A delegated act adopted pursuant to paragraph 7 shall not apply to resolution colleges established under this paragraph but shall be taken into account when the rules for their functioning are established. The Chair of the resolution college shall decide which authorities participate in a meeting or in an activity of the resolution college, taking into account the relevance of the activity to be planned or coordinated for those authorities, in particular the potential impact on the stability of the financial system in the Member States concerned and the tasks referred to in the first subparagraph of this paragraph.

The Chair of the resolution college shall keep all members of the resolution college fully informed, in advance, of the organisation of such meetings, the main issues to be discussed and the activities to be considered. The Chair shall also keep all members of the resolution college fully informed, in a timely manner, of the actions taken in those meetings or the measures carried out.

;

(53) Article 91 is amended as follows:

(a) paragraph 1 is replaced by the following:

1. Where a resolution authority decides that an institution or entity as referred to in Article 1(1), point (b), (c) or (d), that is a subsidiary in a group, meets the conditions referred to in Article 32(1), points (a) and (b), or Article 33(4), points (a) and (b), as applicable, that authority shall notify without delay to the group-level resolution authority, if different, to the consolidating supervisor and to the members of the resolution college for the group in question the following information:

(a) the decision that the institution or entity referred to in Article 1(1), point (b), (c) or (d), meets the conditions referred to in Article 32(1), points (a) and (b), or Article 33(4), points (a) and (b), as applicable;

(aa) the outcome of the assessment of the condition referred to in Article 32(1), point (c) and Article 33(4), point (c);

(b) the resolution actions or insolvency measures that the resolution authority considers to be appropriate for that institution or entity.

The information referred to in the first subparagraph of this paragraph may be included in the notifications communicated pursuant to Article 81(3) to the group-level resolution authority, if different, to the consolidating supervisor and to the members of the resolution college for the group in question.

;

(b) in paragraph 7, the second subparagraph is replaced by the following:

EBA may, at the request of a resolution authority, assist the resolution authorities in reaching a joint decision in accordance with Article 31(2), point (c), of Regulation (EU) No 1093/2010.

;

(54) in Article 92(3), the second subparagraph is replaced by the following:

EBA may, at the request of a resolution authority, assist the resolution authorities in reaching a joint decision in accordance with Article 31(2), point (c), of Regulation (EU) No 1093/2010.

;

(55) in Article 96(3), point (b) is replaced by the following:

(b) the requirements relating to the application of the resolution tools in Title IV, Chapter IV.

;

(56) in Article 98, paragraph 1 is amended as follows:

(a) the introductory wording is replaced by the following:

Member States shall ensure that resolution authorities and competent ministries exchange confidential information with relevant third-country authorities only if all of the following conditions are met:

;

(b) the following subparagraphs are added:

Member States shall ensure that competent authorities exchange confidential information, including recovery plans, with relevant third-country authorities only if the following conditions are met:

(a) in relation to recovery and resolution-related information, the conditions set out in the first subparagraph of this paragraph;

(b) in relation to other information available to the competent authorities, the conditions set out in Article 55 of Directive 2013/36/EU.

For the purposes of the second subparagraph, recovery and resolution-related information shall include all information directly related to the tasks of competent authorities under this Directive, in particular recovery planning and recovery plans, early intervention measures and exchanges with resolution authorities regarding resolution planning, resolution plans and resolution action.

;

(57) in Article 101, the following paragraph is added:

1. Where paragraph 2 applies, any variable remuneration, including discretionary pension benefits, of the current and former members of the management body and senior management of the institution under resolution for periods prior to the failure of the institution that has not been paid out or has not vested before the decision to take resolution action shall be cancelled. Variable remuneration, including discretionary pension benefits, that vested or was paid out, in the 24 months preceding the decision to take resolution action, to the current and former members of the management body and senior management shall be returned or repaid by them, unless they prove that they did not participate in, or were not responsible for, the conduct that resulted in, or contributed to, the failure of the institution under resolution.

This paragraph shall not apply to variable remuneration, including discretionary pension benefits, that is regulated by a collective bargaining agreement.

;

(58) in Article 102(3), the first subparagraph is replaced by the following:

If the available financial means are not sufficient to meet the target level specified in paragraph 1 of this Article, the ex ante contributions raised in accordance with Article 103 shall resume until the target level is reached. Resolution authorities may defer the collection of the ex ante contributions raised in accordance with Article 103 for up to three years to ensure that the amount to be collected reaches an amount that is proportionate to the costs of the collection process, provided that such deferral does not materially affect the capacity of the resolution authority to use the resolution financing arrangements pursuant to Article 101. Where the available financial means account for less than two thirds of the target level, the contributions shall be set at a level allowing for the target level to be reached within a reasonable timeframe which shall not exceed six years.

;

(59) Article 103 is amended as follows:

(a) paragraph 3 is replaced by the following:

1. The available financial means to be taken into account in order to reach the target level specified in Article 102 may include irrevocable payment commitments which are fully backed by collateral of low-risk assets unencumbered by any third party rights, at the free disposal of and earmarked for the exclusive use by the resolution authorities for the purposes specified in Article 101(1). The share of irrevocable payment commitments shall not exceed 30 % of the total amount of contributions raised in accordance with this Article. Within that limit, the resolution authority shall determine annually the share of irrevocable payment commitments in the total amount of contributions to be raised in accordance with this Article.

;

(b) the following paragraph is inserted:

3a.

The resolution authority shall call the irrevocable payment commitments made pursuant to paragraph 3 of this Article where the use of the resolution financing arrangements is needed pursuant to Article 101.

Where an entity ceases to be within the scope of Article 1, Member States shall ensure that the resolution authority cancels the irrevocable payment commitments made pursuant to paragraph 3 of this Article and the collateral backing those commitments is returned.

Having regard to the need to preserve or restore adequate level of financial means available in the resolution financing arrangements, Member States shall ensure that in the cases referred to in the second subparagraph resolution authorities have the power, upon cancellation of the irrevocable payment commitments, to determine an amount that the entity referred to in the second subparagraph shall contribute to the resolution financing arrangement in the form, terms and timing set out in the decision of the resolution authority.

The contribution referred to in the third subparagraph shall not exceed the amount of irrevocable payment commitments cancelled pursuant to the second subparagraph.

;

(60) in Article 104(1), the second subparagraph is replaced by the following:

The total amount of extraordinary ex post contributions per year shall not exceed three times 12,5 % of the target level specified in Article 102.

;

(61) in Article 107(3), point (d) is replaced by the following:

(d) any contribution that deposit guarantee schemes would be required to make in accordance with Article 109;

;

(62) Article 108 is amended as follows:

(a) paragraph 1 is replaced by the following:

1. Member States shall ensure that in their national laws governing normal insolvency proceedings:

(a) the following have the same priority ranking which is higher than the ranking provided for under point (b):

(i) covered deposits;

(ii) claims of deposit guarantee schemes referred to in Article 9(2) of Directive 2014/49/EU;

(b) the following have the same priority ranking which is higher than the ranking provided for under point (c):

(i) that part of eligible deposits from natural persons, micro, small and medium-sized enterprises and from public authorities which exceeds the coverage level provided for in Article 6 of Directive 2014/49/EU;

(ii) deposits that would be eligible deposits from natural persons, micro, small and medium-sized enterprises and from public authorities were they not made through branches located outside the Union of institutions established in the Union;

(c) deposits not referred to in points (a) and (b) have the same priority ranking which is higher than the ranking provided for the claims of ordinary unsecured creditors.

The deposits referred to in Article 5(1), points (b), (c), (f), (k) and (l), of Directive 2014/49/EU shall not be included in the first subparagraph, points (a), (b) and (c), of this paragraph, and shall not have a priority ranking higher than the ranking provided for the claims of ordinary unsecured creditors.

;

(b) the following paragraphs are added:

1. Where the resolution tools referred to in Article 37(3), point (a) or (b), are used to transfer only part of the assets, rights or liabilities of the institution under resolution, the resolution financing arrangement shall have a claim against the residual institution or entity referred to in Article 1(1), point (b), (c) or (d), for any expense and loss incurred by the resolution financing arrangement as a result of any contributions made to resolution pursuant to Article 101(1) in connection to losses which creditors would have otherwise borne.

1. Member States shall ensure that the claims of the resolution financing arrangement referred to in paragraph 8 of this Article and in Article 37(7) have, in their national laws governing normal insolvency proceedings, a preferred priority ranking, which shall be higher than the ranking provided for the claims of deposits and of deposit guarantee schemes pursuant to paragraph 1 of this Article.

;

(63) Article 109 is replaced by the following:

Article 109

Use of deposit guarantee schemes in the context of resolution

1. Member States shall ensure that, where the resolution authorities take resolution action with respect to a credit institution, and provided that such action ensures that depositors continue to have access to their deposits, the deposit guarantee scheme to which that credit institution is affiliated contributes the following amounts:

(a) where the bail-in tool is applied for the purpose of Article 43(2), point (a), independently or in combination with other resolution tools, the amount by which covered deposits would have been written down or converted in order to absorb the losses and recapitalise the institution under resolution pursuant to Article 46(1), had covered deposits been included within the scope of bail-in;

(b) where the sale of business tool or the bridge institution tool is applied, independently or in combination with other resolution tools, leading to the exit from the market of the institution under resolution:

(i) the amount necessary to cover the difference between, on the one hand, the value of the covered deposits and of the liabilities with the same or a higher priority ranking than covered deposits and, on the other hand, the value of the assets of the institution under resolution which are to be transferred to a recipient; and

(ii) where relevant, an amount necessary to ensure the capital neutrality of the recipient following the transfer.

1. In the cases referred to in paragraph 1, point (b), of this Article, where the transfer to the recipient includes deposits that are not covered deposits or other bail-inable liabilities and the resolution authority has reached the conclusion that the circumstances referred to in Article 44(3) apply to those deposits or liabilities, and where neither the threshold laid down in Article 44(5), point (a), nor the threshold laid down in Article 44(8), point (a), for the use of the resolution financing arrangements is met through the contribution to loss absorption and recapitalisation made by the shareholders and the holders of other instruments of ownership, the holders of relevant capital instruments and of other bail-inable liabilities, the amount contributed by the deposit guarantee scheme shall be the following:

(a) the amount necessary to cover the difference between, on the one hand, the value of deposits referred to in Article 108(1), first subparagraph, and of the liabilities with the same or higher priority ranking than covered deposits and, on the other hand, the value of the assets of the institution under resolution which are to be transferred to a recipient; and

(b) where relevant, an amount necessary to ensure the capital neutrality of the transfer for the recipient.

Member States shall ensure that, once the deposit guarantee scheme has made a contribution in the cases referred to in the first subparagraph, the institution under resolution refrains from acquiring stakes in other undertakings as well as from making distributions in connection with Common Equity Tier 1 capital or payments on Additional Tier 1 instruments, and from conducting other activities that may lead to an outflow of funds.

1. Where the funds of the deposit guarantee scheme are used in the application of the bail-in tool in accordance with paragraph 1, point (a), to contribute to the recapitalisation of the institution under resolution, Member States shall ensure that the deposit guarantee scheme transfers its holdings of shares or other instruments of ownership in the institution under resolution to the private sector as soon as commercial and financial circumstances allow.

Member States shall ensure that the deposit guarantee scheme markets the shares or other instruments of ownership referred to in the first subparagraph openly and transparently. Any such sale shall not misrepresent those shares or instruments or discriminate between potential purchasers and shall be made on commercial terms.

1. The contribution of the deposit guarantee scheme to a transfer that includes deposits that are not covered deposits or other bail-inable liabilities pursuant to paragraph 2 of this Article shall count towards the thresholds laid down in Article 44(5), point (a), and in Article 44(8), point (a), where all of the following conditions are met:

(a) the total value of the assets of the institution under resolution on an individual basis does not exceed EUR 80 billion;

(b) the institution under resolution has not, in the 24 months preceding the decision to take resolution action, been identified as a liquidation entity in the group resolution plan or in the resolution plan;

(c) the own funds instruments and eligible liabilities of the institution under resolution, and any liabilities that no longer qualify as eligible liabilities because they do not satisfy the condition set out in Article 72c(1) of Regulation (EU) No 575/2013, have been used in full for loss absorption and recapitalisation, except those eligible liabilities in relation to which the resolution authority considers that the circumstances referred to in Article 44(3) of this Directive apply;

(d) for an institution under resolution with a total value of assets on an individual basis above EUR 30 billion, the level of the requirement referred to in Article 45(1) is at least equal to the level referred to in Article 45c(6a).

Member States may decide that the first subparagraph of this paragraph shall only apply where the institution under resolution has not breached the requirement referred to in Article 45(2), point (a), including the corresponding intermediate target levels determined pursuant to Article 45m(1) and (2), for two consecutive quarters in the four-year period which ends on the date prior to the first day of the three full quarters preceding the decision to take resolution action. Where the competent authority or the resolution authority has applied at least one of the measures referred to in Article 45k(1) to address a breach of the requirement referred to in Article 45(2), point (a), the resolution authority shall not take into account breaches of that requirement during the four full quarters preceding the decision to take resolution action.

The second subparagraph of this paragraph shall not apply to the requirements that result from the application of Article 45b(4), (5) or (7).

1. Where the contribution of the deposit guarantee scheme to a transfer that includes deposits that are not covered deposits or other bail-inable liabilities, pursuant to paragraphs 2 and 4 of this Article, together with the contribution to loss absorption and recapitalisation made by the shareholders and the holders of other instruments of ownership, the holders of relevant capital instruments and of other bail-inable liabilities, enables the use of the resolution financing arrangement, the contribution of the deposit guarantee scheme shall be limited to the amount necessary to meet the thresholds laid down in Article 44(5), point (a), and in Article 44(8), point (a). Following the contribution of the deposit guarantee scheme, the resolution financing arrangement shall be used in accordance with the principles governing the use of the resolution financing arrangement set out in Articles 44 and 101.

Where an institution under resolution has a total value of assets on an individual basis of between EUR 30 billion and EUR 80 billion, the contribution of the deposit guarantee scheme pursuant to this paragraph shall not exceed 2,5 % of the total liabilities including own funds of the institution under resolution.

1. Where paragraph 4 of this Article applies and the conditions set out in Article 44(7), first subparagraph, are met, the deposit guarantee scheme shall make an additional contribution equal to the amount of losses that covered deposits would have suffered, had covered deposits suffered losses in proportion to the losses suffered by creditors with the same priority ranking in the national insolvency hierarchy.

The cost of the additional contribution of the deposit guarantee scheme referred to in the first subparagraph of this paragraph shall not exceed the losses it would have incurred had the institution been wound up under normal insolvency proceedings, as estimated pursuant to Article 36(8).

1. Member States shall ensure that, in all cases, the total amount of the contribution of the deposit guarantee scheme in a resolution action in accordance with this Article does not exceed the amount referred to in Article 11e, point (a), of Directive 2014/49/EU.

Where the sale of business tool or the bridge institution tool is applied in accordance with paragraph 1, point (b), or paragraph 2 of this Article, the amount of the contribution of the deposit guarantee scheme referred to in those provisions shall not exceed 62,5 % of the target level of the deposit guarantee scheme as referred to in Article 10(2) of Directive 2014/49/EU.

The designated authority may decide that the limit referred to in the second subparagraph of this paragraph shall not apply in the event that the resolution authority provides that designated authority with a justification that a contribution from the deposit guarantee scheme of an amount higher than 62,5 % of its target level is necessary to avoid adverse effects on financial stability or to preserve the access of depositors to their deposits.

Where the bail-in tool is applied in accordance with paragraph 1, point (a), of this Article, the amount of the contribution of the deposit guarantee scheme shall not exceed the losses the deposit guarantee scheme would have incurred had the institution been wound up under normal insolvency proceedings, as estimated pursuant to Article 36(8).

Upon request, the deposit guarantee scheme shall promptly inform the resolution authority of the amounts referred to in the first and second subparagraphs.

1. The resolution authority shall determine the amount of the contribution of the deposit guarantee scheme in accordance with this Article and shall notify its decision to the designated authority and to the deposit guarantee scheme. The deposit guarantee scheme shall implement that decision without delay.

1. Where eligible deposits at an institution under resolution are transferred to another entity through the sale of business tool or the bridge institution tool, the depositors shall have no claim under Directive 2014/49/EU against the deposit guarantee scheme in relation to any part of their deposits at the institution under resolution that are not transferred, provided that the amount of their deposits which are transferred is equal to or more than the aggregate coverage level provided for in Article 6 of that Directive.

1. Where the deposit guarantee scheme makes a contribution to resolution action, Article 101(3) shall apply.

1. EBA shall, by 11 May 2028, issue guidelines, in accordance with Article 16 of Regulation (EU) No 1093/2010, on the conditions for the designated authority to disapply the limit referred to in paragraph 7, second subparagraph, of this Article.

;

(64) in Article 111(1), the following points are added:

(e) failure to comply with the requirements referred to in Article 44a;

(f) failure to comply with the minimum requirement for own funds and eligible liabilities referred to in Article 45e or 45f.

;

(65) Article 128 is replaced by the following

Article 128

Cooperation and information exchange among institutions and authorities

1. The competent authorities and resolution authorities shall cooperate with EBA for the purposes of this Directive in accordance with Regulation (EU) No 1093/2010.

The competent authorities and resolution authorities shall, without delay, provide EBA with all of the information necessary to carry out its tasks, in accordance with Article 35 of Regulation (EU) No 1093/2010.

1. EBA, the Single Resolution Board and the ECB shall provide the Commission, upon its request, with the information necessary for the performance of its tasks related to policy development, including the carrying out of impact assessments, the preparation of legislative proposals, and the participation in the legislative process. Where appropriate, EBA, the Single Resolution Board and the ECB shall coordinate with resolution authorities, national competent authorities and other members of the European System of Central Bank, in accordance with their cooperation framework.

1. The resolution authorities, the national competent authorities and the members of the European System of Central Banks other than the ECB shall provide the Commission, upon its request, with the information referred to in paragraph 2 of this Article where such information is not available to EBA, the Single Resolution Board or the ECB, or where they cannot provide the information within a reasonable timeframe. The request shall be proportionate, justified and ensure a reasonable timeframe for the provision of the information. The information shall be provided in a form that does not allow for the identification of individual entities and does not contain personal data. The Commission and its staff shall be subject to the requirements of professional secrecy laid down in Article 84 with regard to the information received.

;

(66) the following articles are inserted:

Article 128b

Means of disclosure

1. Institutions other than small and non-complex institutions as defined in Article 4(1), point (145), of Regulation (EU) No 575/2013 and entities referred to in Article 1(1), points (b), (c) and (d), of this Directive shall submit all information required under Article 45i(3) of this Directive in electronic format to EBA no later than the date on which they publish their financial statements or financial reports for the corresponding period, where applicable, or as soon as possible thereafter. EBA shall publish that information, together with its submission date, on its website.

EBA shall ensure that the disclosures made on its website contain information identical to that which institutions and entities submitted to it. Institutions and entities shall have the right to resubmit to EBA the information in accordance with the technical standards referred to in Article 45i(6). EBA shall make available on its website the date when the resubmission took place.

EBA shall prepare and keep up-to-date a tool that specifies the mapping of the templates and tables for disclosures in accordance with Article 45i(3) with those on supervisory reporting in accordance with Article 45i(1). The mapping tool shall be accessible to the public on the EBA website.

Institutions and entities may continue to publish a standalone document that provides a readily accessible source of prudential and resolution information for users of that information or a distinctive section included in or appended to the institutions or entities’ financial statements or financial reports containing the required disclosures and being easily identifiable to those users. Institutions and entities may include on their websites a link to the EBA website where the prudential and resolution information is published in a centralised manner.

1. Where Article 45i(1) and (3) of this Directive apply to small and non-complex institutions as defined in Article 4(1), point (145), of Regulation (EU) No 575/2013 EBA shall publish on its website the disclosures of those institutions in accordance with Article 45i(3) on the basis of the information reported by those institutions to competent and resolution authorities in accordance with Article 45i(1).

1. EBA shall publish annual disclosures on its website on the same date as the date on which the institutions and entities publish their financial statements or as soon as possible thereafter.

EBA shall publish semi-annual and quarterly disclosures, where applicable, on its website on the same date as the date on which the institutions and entities publish their financial reports for the corresponding period or as soon as possible thereafter.

Any delay between the date of publication of the disclosures referred to in paragraph 1 and the relevant financial statements shall be reasonable.

1. EBA shall make available on its website an archive of the information required to be disclosed in accordance with this Article. That archive shall be kept accessible for a period that shall be no less than the storage period set by national law for information included in the institutions or entities’ financial reports. Ownership of the data and the responsibility for their accuracy shall remain with the institutions or entities that produce them.

Article 128c

Crisis management simulations

1. EBA shall coordinate regular Union-wide exercises to test the application of this Directive, Regulation (EU) No 806/2014 of the European Parliament and of the Council

Regulation (EU) No 806/2014 of the European Parliament and of the Council of 15 July 2014 establishing uniform rules and a uniform procedure for the resolution of credit institutions and certain investment firms in the framework of a Single Resolution Mechanism and a Single Resolution Fund and amending Regulation (EU) No 1093/2010 (OJ L 225, 30.7.2014, p. 1, ELI: http://data.europa.eu/eli/reg/2014/806/oj).

and Directive 2014/49/EU in cross-border situations on the following aspects:

(a) cooperation of the competent authorities during recovery planning;

(b) cooperation among resolution authorities and competent authorities before the failure and during the resolution of institutions and entities referred to in Article 1(1), points (b), (c) and (d), of this Directive, including in the implementation of resolution schemes adopted pursuant to Article 18 of Regulation (EU) No 806/2014.

1. EBA shall prepare a report setting out the key findings and conclusions of the exercises referred to in paragraph 1. The report shall be made public.

Article 128d

Transitional provisions

1. By way of derogation from Article 45b(1a), deposits taken prior to 12 May 2028 that meet the conditions set out in Article 45b(1), first subparagraph, Article 45c(2a), second subparagraph, or Article 45f(2), point (a), may be included in the amount of own funds and eligible liabilities until 11 May 2029.

1. In respect of transitional periods for institutions or entities referred to in Article 1(1), point (b), (c) or (d), of this Directive, to comply with the requirements laid down in Article 45e or 45f of this Directive or with requirements that result from the application of Article 45b(4), (5) or (7) of this Directive, as appropriate, determined by resolution authorities prior to 12 May 2028, Article 1, point (39)(a), of Directive (EU) 2026/806 of the European Parliament and of the Council

Directive (EU) 2026/806 of the European Parliament and of the Council of 30 March 2026 amending Directive 2014/59/EU as regards early intervention measures, conditions for resolution and financing of resolution action and Directive 2014/24/EU as regards valuation services in resolution (OJ L, 2026/806, 20.4.2026, ELI: http://data.europa.eu/eli/dir/2026/806/oj).;

shall not apply.

(67) in the Annex, Section B, the following point is inserted:

(5a) a description of the liabilities of the institution and all of its legal entities governed by the law of a third country, including:

their amount,

their composition, including their maturity profile,

the governing law of the third country,

their ranking in normal insolvency proceedings,

whether the liability is excluded under Article 44(2),

whether they include in the contractual provisions the term required pursuant to Article 55(1) of this Directive and Article 52(1), points (p) and (q), and Article 63, points (n) and (o), of Regulation (EU) No 575/2013,

where a determination has been reached that it is legally or otherwise impracticable to include the contractual bail-in recognition term in accordance with Article 55(2), the category of the liability pursuant to Article 55(7)..

Article 2

Amendment to Directive 2014/24/EU

In Article 10 of Directive 2014/24/EU, the following point is added:

(k) valuation services referred to in Articles 36 and 74 of Directive 2014/59/EU of the European Parliament and of the Council

Directive 2014/59/EU of the European Parliament and of the Council of 15 May 2014 establishing a framework for the recovery and resolution of credit institutions and investment firms and amending Council Directive 82/891/EEC, and Directives 2001/24/EC, 2002/47/EC, 2004/25/EC, 2005/56/EC, 2007/36/EC, 2011/35/EU, 2012/30/EU and 2013/36/EU, and Regulations (EU) No 1093/2010 and (EU) No 648/2012, of the European Parliament and of the Council (OJ L 173, 12.6.2014, p. 190, ELI: http://data.europa.eu/eli/dir/2014/59/oj)..

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Article 3

Transposition

1. By 11 May 2028, Member States shall adopt and publish the measures necessary to comply with this Directive. They shall immediately inform the Commission thereof.

They shall apply those measures from 12 May 2028.

When Member States adopt those measures, they shall contain a reference to this Directive or shall be accompanied by such reference on the occasion of their official publication. The methods of making such reference shall be laid down by Member States.

1. Member States shall communicate to the Commission the text of the main measures of national law which they adopt in the field covered by this Directive.

Article 4

Entry into force and application

This Directive shall enter into force on the twentieth day following that of its publication in the Official Journal of the European Union.