Council agrees general approach on Single Resolution Mechanism. Negotiations with the European Parliament will start in early 2014 to allow for its adoption before the end of the current legislative period.
The Commission proposed a Single Resolution Mechanism for the Banking Union. The Single Resolution Mechanism complements the Single Supervisory Mechanism which was proposed by the Commission in September 2012. It is set to centralise key competences and resources for managing the failure of any bank in the Euro Area and in other Member States participating in the Banking Union.
- 12.09.2013 - 29.10.2013
Following the European Parliament Plenary vote on the legislative resolution for the European Banking Authority (EBA) Regulation and the Council agreement conferring specific supervision tasks on the European Central Bank, the European Union formally adopted the creation of a bank single supervisory mechanism (SSM), led by the European Central Bank, with the objective to strengthen the Economic and Monetary Union. Both legal texts were published in the Official Journal on 29 October 2013.
- Council Regulation (EU) No 1024/2013 of 15 October 2013 conferring specific tasks on the European Central Bank concerning policies relating to the prudential supervision of credit institutions
- Regulation (EU) No 1022/2013 of the European Parliament and of the Council of 22 October 2013 amending Regulation (EU) No 1093/2010 establishing a European Supervisory Authority (European Banking Authority) as regards the conferral of specific tasks on the European Central Bank pursuant to Council Regulation (EU) No 1024/2013
The Parliament and the Council reached a political agreement on the Single Supervisory Mechanism package. COREPER on 18 April approved the final compromise texts. On 21 May, the EP Plenary held a general debate on the SSM regulation. The EP Plenary will vote on the legislative resolution for the EBA regulation, formally closing the process, once necessary national parliamentary procedures are assured.
- Statement by Commissioner Barnier – 19.03.2013
The Commission proposed a single supervisory mechanism (SSM) for banks led by the European Central Bank (ECB) in order to strengthen the Economic and Monetary Union. The set of proposals is a first step towards an integrated “banking union” which includes further components such as a single rulebook, common deposit protection and a single bank resolution mechanisms. The proposals concern:
- A regulation giving strong powers for the supervision of all banks in the euro area to the ECB and national supervisory authorities i.e. the creation of a single supervisory mechanism;
- A regulation with limited and specific changes to the regulation setting up the European Banking Authority (EBA) to ensure a balance in its decision making structures between the euro area and non-euro area Member States;
- A communication outlining the Commission's overall vision for rolling out the banking union, covering the single rulebook, common deposit protection and a single bank resolution mechanism.