Commission Implementing Regulation (EU) 2026/519

Contents

THE EUROPEAN COMMISSION,Having regard to the Treaty on the Functioning of the European Union,Having regard to 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^note, and in particular Article 45j(2), third subparagraph, thereof,Whereas:

(1)Directive (EU) 2024/1174 of the European Parliament and of the Council^note amended certain aspects of the minimum requirement for own funds and eligible liabilities (‘MREL’) set out in Directive 2014/59/EU. Pursuant to those amendments, resolution authorities should not determine the MREL for liquidation entities, except where the setting of a MREL exceeding an amount sufficient to absorb losses is necessary to to protect financial stability or to address the risk of contagion to the financial system, including regarding the financing capacity of deposit guarantee schemes. Additionally, Directive (EU) 2024/1174 increased the number of situations allowing resolution authorities to determine the MREL on a consolidated basis. Commission Implementing Regulation (EU) 2021/622^note should be amended to reflect those changes to the MREL framework in the information to be transmitted to the European Banking Authority (EBA).

(2)Implementing Regulation (EU) 2021/622 currently requires resolution authorities to transmit to the EBA, on an annual basis, information related to the setting of MREL. Subsequently, the EBA combines that information with information on the composition of the own funds and eligible liabilities obtained pursuant to Commission Implementing Regulation (EU) 2021/763^note to produce its report on MREL in accordance with Article 45l of Directive 2014/59/EU, which currently has a bi-annual frequency. The current yearly reporting of information on the setting of MREL means that MREL decisions adopted by resolution authorities after the relevant reference date are not transmited or assessed by the EBA, and are not reflected in its reports, until the following year, thus creating misalignments with the more updated information on the composition of the own funds and eligible liabilities.

(3)To improve the EBA’s ability to monitor and assess the MREL set by resolution authorities and institutions’ compliance with the MREL requirements, resolution authorities should be required to report to the EBA more frequently on MREL decisions. To ensure alignment with the reports on MREL prepared by the EBA, resolution authorities should report that information bi-annually.

(4)To facilitate the assessment by the EBA of how resolution authorities have exercised discretion when setting the MREL, in particular with regard to the option available under Article 45b(4), first subparagraph, of Directive 2014/59/EU, template M 20.00 – Reporting on MREL decisions (Annex I to Regulation (EU) 2021/622) and the corresponding instructions should be adjusted to require that information on the exercise of that option is included.

(5)The EBA has requested the advice of the Banking Stakeholder Group established in accordance with Article 37 of Regulation (EU) No 1093/2010 of the European Parliament and of the Council^note.

(6)The amendments to Regulation (EU) 2021/622 are addressed to resolution authorities and do not involve significant changes in substantive terms. The EBA has therefore, in accordance with Article 15(1), second subparagraph, of Regulation (EU) No 1093/2010, not conducted open public consultations nor analysed the potential related costs and benefits, considering that it would be disproportionate in relation to the scope and impact of the draft implementing technical standards concerned.

(7)Implementing Regulation (EU) 2021/622 should therefore be amended accordingly.

(8)This Regulation is based on the draft implementing technical standards submitted to the Commission by the EBA,

HAS ADOPTED THIS REGULATION:

Article 1 #

Implementing Regulation (EU) 2021/622 is amended as follows:

(1)Article 2 is amended as follows:

(a)the title is replaced by the following:‘Article 2Simplified reporting requirement for institutions subject to waivers’;

(b)paragraph 2 is deleted;

(2)in Article 3, the introductory wording is replaced by the following:‘For groups that are subject to MREL on a consolidated basis pursuant to Article 45e, Article 45f(1), third and fourth subparagraphs, and Article 45f(4), point (b), of Directive 2014/59/EU, the information referred to in Articles 1 and 2 shall be submitted by the following authorities and in the following manner:’;

(3)Article 4 is replaced by the following:‘Article 4Reporting periods and submission datesResolution authorities shall transmit the information referred to in Articles 1 and 2 as follows:

(a)for the MREL applicable as of 30 June, by 16 September of that year;

(b)for the MREL applicable as of 31 December, by 18 March of the following year.’

;

(4)Annex I is replaced by the text in Annex I to this Regulation;

(5)Annex II is replaced by the text in Annex II to this Regulation.

Article 2 #

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

Annex I

M 20.00 - Reporting of MREL decisions

INSTITUTION	BALANCE SHEET DATA USED TO CALIBRATE MREL
ENTITY CODE	TYPE OF CODE	RESOLUTION ENTITY CODE	TYPE OF CODE	CONSOLIDATION PERIMETER	TYPE OF INSTITUTION	INTERNAL OR EXTERNAL MREL?	WAIVER	REASON FOR WAIVER	RESOLUTION STRATEGY AND TOOLS	ADDITIONAL OWN FUNDS REQUIREMENT AND COMBINED BUFFER REQUIREMENT AS % OF TREA	REFERENCE DATE	BEFORE RESOLUTON
RESOLUTION STRATEGY	MAIN RESOLUTION TOOL (PREFERRED STRATEGY )	SECOND RESOLUTION TOOL (PREFERRED STRATEGY )	MAIN RESOLUTION TOOL (VARIANT STRATEGY)	SECOND RESOLUTION TOOL (VARIANT STRATEGY)	ADDITIONAL OWN FUNDS REQUIREMENT	COMBINED BUFFER REQUIREMENT USED FOR THE CALIBRATION		TREA	TLOF	TEM
OF WHICH: COUNTERCYCLICAL CAPITAL BUFFER
0010	0020	0030	0040	0050	0060	0070	0090	0100	0110	0120	0130	0140	0150	0170	0180	0190	0200	0210	0220	0230

MREL DECISION
DECISION DATE	COMPLIANCE DATE					TOTAL SUBORDINATION AS % OF TREA	TOTAL SUBORDINATION AS % OF TEM	SENIOR DEBT ALLOWANCE	DE MINIMIS ALLOWANCE	REDUCED TLOF REQUIREMENT
REQUIREMENT AS % OF TREA	OF WHICH: MAY BE MET WITH GUARANTEES	REQUIREMENT AS % OF TEM	OF WHICH: MAY BE MET WITH GUARANTEES	MANDATORY P1 SUBORDINATION REQUIREMENT	DISCRETIONARY P2 SUBORDINATION REQUIREMENT	MANDATORY P1 SUBORDINATION REQUIREMENT	DISCRETIONARY P2 SUBORDINATION REQUIREMENT
0270	0280	0290	0300	0310	0320	0330	0340	0350	0360	0370	0380	0381

ADJUSTMENTS	TRANSITION PERIOD
ADJUSTMENTS FOR CALIBRATING THE LOSS ABSORBING AMOUNT	ADJUSTMENTS FOR CALIBRATING THE RECAPITALISATION AMOUNT AS % OF TREA	ADJUSTMENTS FOR CALIBRATING THE RECAPITALISATION AMOUNT AS % OF TEM	INTERMEDIATE TARGET
ADJUSTMENTS TO P2	ADJUSTMENTS TO MARKET CONFIDENCE BUFFER	ADJUSTMENTS RESULTING FROM CHANGE IN THE BALANCE SHEET POST RESOLUTION	ADJUSTMENTS RESULTING FROM CHANGE IN THE BALANCE SHEET POST RESOLUTION	AS A % OF TREA	AS A % OF TEM
AS % OF TREA	AS % OF TEM	UPWARD	DOWNWARD	UPWARD	UPWARD	DOWNWARD	UPWARD	DOWNWARD	MREL LEVEL	SUBORDINATION	DATE OF APPLICATION	MREL LEVEL	SUBORDINATION	DATE OF APPLICATION
0390	0400	0410	0420	0430	0440	0450	0460	0470	0480	0490	0500	0510	0520	0530	0540

Annex II · Instructions for completing reporting on MREL decisions

Part I: general instructions

1.This Annex covers the instructions for reporting in accordance with Article 45j of Directive 2014/59/EU on the minimum requirement for own funds and eligible liabilities (MREL) set by the resolution authorities.

2.Each resolution authority, in coordination with competent authorities, shall inform the EBA of the MREL set for each institution under its jurisdiction. With regard to resolution groups, the group-level resolution authority shall transmit the relevant information for the Union parent undertaking on a consolidated basis. Each resolution authority shall transmit the information regarding the MREL set in relation to resolution groups and subsidiaries.

3.For groups established or having subsidiaries within the banking union, the Single Resolution Board will report on decisions taken in relation to all entities falling under its jurisdiction as defined in Article 7(2) of Regulation (EU) No 806/2014 of the European Parliament and of the Council^note.

4.Where an institution has been exempted from MREL, this shall be indicated in column 0090, and the resolution authority can opt for simplified reporting with only reporting the information in columns 0010 to 0100.

5.Resolution authorities shall report the MREL decisions for liquidation entities set in accordance with the second subparagraph of Article 45c(2a) of Directive 2014/59/EU.

1. Scope of the notification

6.Institutions (including investment firms), as defined in Article 2(1), point (23), of Directive 2014/59/EU), and entities as referred to in Article 1(1), points (b), (c) and (d), of Directive 2014/59/EU that are subject to Article 45(1) of that Directive, except mortgage credit institutions financed by covered bonds that are exempted from the MREL in accordance with Article 45a of Directive 2014/59/EU.

7.Resolution authorities shall transmit the full set of MREL decisions applicable at each reference date for all institutions, regardless of the decision date.

2. Scope of consolidation

8.The underlying data shall be reported on an individual basis for each entity within each Member State, or at the level of any of the following:

(a)the Union parent undertaking on a consolidated basis, where the perimeter of consolidation for the Union parent undertaking is identical to the perimeter of consolidation of the resolution group;

(b)where different from point (a), for each resolution entity at resolution group consolidated level in accordance with Article 45e of Directive 2014/59/EU;

(c)where applicable, for a parent undertaking on a consolidated basis in accordance with Article 45f(4) point (b), of Directive 2014/59/EU or the third subparagraph of Article 45f(1) of that Directive;

(d)where applicable, for a subsidiary on a consolidated basis in accordance with the fourth subparagraph of Article 45f(1) of Directive 2014/59/EU.

Column	Legal references and instructions
0010	ENTITY CODECode of the entity for which the MREL decision has been made. For institutions, the code shall be the 20-digit, alphanumerical legal entity identifier (LEI) code. For other entities, the code shall be the 20-digit, alphanumerical LEI code, or where not available a code under a uniform codification applicable in the Union, or where not available a national code.The code shall be consistent with the code reported for the same institution under Commission Implementing Regulation (EU) 2018/1624^note. The code shall always have a value. That code shall be the unique identifier for each column for the relevant entity.
0020	TYPE OF CODEThe reporting authority shall identify the type of code reported in column 0010 as an “LEI code” or “Non-LEI code”. The type of code shall always be reported.
0030	RESOLUTION ENTITY CODECode of the resolution entity to which the entity belongs. This code shall be the same as in the column 0010 if the decision reported is a group decision. For institutions, the code shall be the 20-digit, alphanumerical LEI code. For other entities, the code shall be the 20-digit, alphanumerical LEI code, or where not available a code under a uniform codification applicable in the Union, or where not available a national code.The code shall be consistent with the code reported for the same institution under Implementing Regulation (EU) 2018/1624.
0040	TYPE OF CODEThe reporting authority shall identify the type of code reported in column 0030 as an “LEI code” or “Non-LEI code”. The type of code shall always be reported.
0050	CONSOLIDATION PERIMETERReporting authorities shall report on the MREL at one of the following perimeters of consolidation:(a) resolution group;(b) consolidated at the level of the parent undertaking in accordance with Article 45f(4), point (b), or the third subparagraph of Article 45f(1) of Directive 2014/59/EU;(c) consolidated at the level of the subsidiary in accordance with the fourth subparagraph of Article 45f(1) of Directive 2014/59/EU;(d) individual
0060	TYPE OF INSTITUTIONReporting authorities shall report one of the following:(a) global systemically important institution (G-SII) as defined in Article 4(1), point (133), of Regulation (EU) No 575/2013 of the European Parliament and of the Council;(b) resolution entity as referred to in Article 45c(5) of Directive 2014/59/EU that is part of a resolution group the total assets of which exceed EUR 100 billion at resolution group level;(c) resolution entity as referred to in Article 45c(6) of Directive 2014/59/EU that is part of a resolution group the total assets of which are lower than EUR 100 billion and which the resolution authority has assessed as reasonably likely to pose a systemic risk in the event of its failure;(d) other credit institution;(e) investment firm;(f) any other entity referred to in Article 1(1), points (b), (c) or (d), of Directive 2014/59/EU.
0070	INTERNAL OR EXTERNALReporting authorities shall report one of the following:(a) internal: MREL applied to entities that are not themselves resolution entities pursuant to Article 45f of Directive 2014/59/EU or resolution entities as referred to in the fifth subparagraph of Article 45f(1) of that Directive that are not subject to Article 45e(3) of that Directive.(b) external: MREL applied to entities that are resolution entities pursuant to Article 45e of Directive 2014/59/EU.
	-
0090	WAIVERReporting authorities shall indicate whether the waiver was granted on the basis of the following provisions of Directive 2014/59/EU or whether no waiver was granted:(a) Article 45f(3);(b) Article 45f(4);(c) Article 45g;(d) No waiver.
0100	REASON FOR WAIVERWhere an option other than “No” has been reported in column 0090, reporting authorities shall describe the reason for applying the waiver.
0110–0150	RESOLUTION STRATEGY AND TOOLS
0110	RESOLUTION STRATEGYReporting authorities shall report one of the following:(a) single point of entry;(b) multiple point of entry;(c) liquidation.
0120	MAIN RESOLUTION TOOL (PREFERRED STRATEGY)Reporting authorities shall report one of the following:(a) open bank bail-in;(b) bridge institution;(c) asset separation;(d) sale of business;(e) N/A.Where column 0110 was reported as “liquidation”, column 0120 shall be reported as N/A.
00130	SECOND RESOLUTION TOOL (PREFERRED STRATEGY)Reporting authorities shall report one of the following:(a) open bank bail-in;(b) bridge institution;(c) asset separation;(d) sale of business;(e) N/A.Where column 0110 was reported as “liquidation” or where no alternative strategy has been set, this column shall be reported as N/A.
0140	MAIN RESOLUTION TOOL (VARIANT STRATEGY)Reporting authorities shall report one of the following (where applicable):(a) open bank bail-in;(b) bridge institution;(c) asset separation;(d) sale of business;(e) N/A.Where column 0110 was reported as “liquidation”, this column shall be reported as N/A.
0150	SECOND RESOLUTION TOOL (VARIANT STRATEGY)Reporting authorities shall report one of the following:(a) open bank bail-in;(b) bridge institution;(c) asset separation;(d) sale of business;(e) N/A.Where column 0110 was reported as “liquidation”, or where no alternative strategy has been set, this column shall be reported as N/A.
0170–0190	ADDITIONAL OWN FUNDS REQUIREMENT AND COMBINED BUFFER REQUIREMENT AS A PERCENTAGE OF TOTAL RISK EXPOSURE AMOUNT (TREA)The information on the additional own funds requirement pursuant to Article 104a of Directive 2013/36/EU of the European Parliament and of the Council^note used as an input for calibrating MREL shall be based on the latest available own funds requirements communicated by the competent authority at the time of the calibration of MREL. These amounts shall be expressed as a percentage of TREA.
0170	ADDITIONAL OWN FUNDS REQUIREMENTAdditional own funds requirement pursuant to Article 104a of Directive 2013/36/EU used to calibrate MREL or as estimated in accordance with regulatory technical standards adopted under Article 45c(4) of Directive 2014/59/EU.
0180	COMBINED BUFFER REQUIREMENT USED FOR THE CALIBRATIONCombined buffer requirement referred to in Article 128(1), point (6), of Directive 2013/36/EU. The amount reported shall represent the amount of own funds needed to fulfil the respective capital buffer requirements or as estimated in accordance with the regulatory technical standards adopted under Article 45c(4) of Directive 2014/59/EU.
0190	OF WHICH: COUNTERCYCLICAL CAPITAL BUFFERArticle 128, point (2), Article 130 and Articles 135 to 140 of Directive 2013/36/EU. The amount reported shall represent the amount of own funds needed to fulfil the respective capital buffer requirements used to calibrate MREL.
0200–0230	BALANCE SHEET DATA USED TO CALIBRATE MREL
0200	REFERENCE DATEReference date of the data reported in columns 0210 to 0230.
0210–0230	BEFORE RESOLUTIONBalance sheet data used to calibrate MREL before resolution.
0210	TREATotal risk exposure amount in accordance with Article 45(2), point (a), of Directive 2014/59/EU and Article 92(3) of Regulation (EU) No 575/2013.
0220	TOTAL LIABILITIES AND OWN FUNDS (TLOF)Sum of all liabilities and own funds of the reporting entity. With respect to derivatives, the value to be used shall be the sum of net liability positions, taking into account prudential netting rules.This item corresponds to the information reported in row 0600 of template Z 02.00 of Annex I to Implementing Regulation (EU) 2018/1624.
0230	TOTAL EXPOSURE MEASURE (TEM)Total exposure measure in accordance with Article 45(2), point (b) of Directive 2014/59/EU, Article 429(4) and Article 429a of Regulation (EU) No 575/2013.
0270–0380	MREL DECISION
0270	DECISION DATEDate when the resolution authority decided on the MREL or adopted a waiver decision.
0280	COMPLIANCE DATEDate from when the institution shall comply with the MREL or waiver decision.
0290	REQUIREMENT AS A PERCENTAGE OF TREAReporting authorities shall report MREL expressed as a percentage of TREA calculated in accordance with Article 92(3) of Regulation (EU) No 575/2013.
0300	OF WHICH: MAY BE MET WITH GUARANTEESThe part of the requirement reported in column 0290 that upon permission of the relevant resolution authority may be met with a guarantee provided by the resolution entity in accordance with Article 45f(5) of Directive 2014/59/EU, expressed as a percentage of TREA calculated in accordance with Article 92(3) of Regulation (EU) No 575/2013.
0310	REQUIREMENT AS A PERCENTAGE OF TEMThe entity’s MREL expressed as a percentage of TEM calculated in accordance with Article 429(4) and Article 429a of Regulation (EU) No 575/2013.
0320	OF WHICH: MAY BE MET WITH GUARANTEESThe part of the requirement reported in column 0310 that upon permission of the relevant resolution authority may be met with a guarantee provided by the resolution entity in accordance with Article 45f(5) of Directive 2014/59/EU, expressed as a percentage of TEM calculated in accordance with Article 429(4) and Article 429a of Regulation (EU) No 575/2013.
0330–0340	TOTAL SUBORDINATION AS A PERCENTAGE OF TREAReporting authorities shall report the subordination requirement levels expressed as a percentage of TREA (100% for internal MREL).
0350–0360	TOTAL SUBORDINATION AS A PERCENTAGE OF TEMReporting authorities shall report the subordination requirement levels expressed as a percentage of TEM (100% for internal MREL).
0330, 0350	MANDATORY SUBORDINATION REQUIREMENTReporting authorities shall report the subordination requirement levels in accordance with Article 45c, paragraphs (5) and (6), and Article 45d(2), point (a), of Directive 2014/59/EU, including any impact from the application of Article 45b(4) of Directive 2014/59/EU.
0340, 0360	DISCRETIONARY SUBORDINATION REQUIREMENTReporting authorities shall report the subordination requirement levels in accordance with Articles 45b, paragraphs (5) or (7) of Directive 2014/59/EU.
0370	SENIOR DEBT ALLOWANCEFor G-SIIs, reporting authorities shall report the share of liabilities allowed to qualify as eligible liabilities instruments up to an aggregate amount that does not exceed 3,5 % of the TREA calculated in accordance with Article 92, paragraphs (3) and (4) of Regulation (EU) No 575/2013.
0380	DE MINIMIS ALLOWANCEFor GSIIs, reporting authorities shall report the share of excluded liabilities referred to in Article 72a(2) of Regulation (EU) No 575/2013 which are allowed to rank in insolvency pari passu or below eligible liabilities of the institution in accordance with Article 72b(4) of Regulation (EU) No 575/2013, expressed as a percentage of the amount of the own funds and eligible liabilities of the institution.
0381	REDUCED TLOF REQUIREMENTDiscretion available under Article 45b(4), first subparagraph, of Directive 2014/59/EU expressed as a percentage of TLOF.
0390–0480	ADJUSTMENTS
0390–0400	ADJUSTMENTS FOR CALIBRATING THE LOSS-ABSORPTION AMOUNT AS PERCENTAGES OF TREA AND TEMAdjustments to the loss absorbing amount pursuant to the second subparagraph of Article 45c(2a) of Directive 2014/59/EU expressed as a percentage of TREA and TEM.
0410–0460	ADJUSTMENTS FOR CALIBRATING THE RECAPITALISATION AMOUNT AS A PERCENTAGE OF TREAAdjustments to the recapitalisation amount pursuant to Article 45c(3), first subparagraph, point (a)(ii), or Article 45c(7), first subparagraph, point (a)(ii), of Directive 2014/59/EU expressed as a percentage of TREA.
0410–0420	ADJUSTEMENTS TO ADDITIONAL OWN FUNDS REQUIREMENTInput any adjustment to additional own funds requirement referred to in Article 104a of Directive 2013/36/EU pursuant to, Article 45c(3), fifth subparagraph, point (b), or Article 45c(7), fifth subparagraph, point (b), of Directive 2014/59/EU.
0430–0440	ADJUSTMENTS RELATED TO MARKET CONFIDENCE BUFFERAdjustments pursuant to Article 45c(3), sixth subparagraph, or Article 45c(7), sixth subparagraph, of Directive 2014/59/EU.
0450–0460	ADJUSTMENTS RESULTING FROM CHANGE IN THE BALANCE SHEET POST RESOLUTIONAdjustments pursuant to Article 45c(3), fifth subparagraph, point (а), or 45c(7), fifth subparagraph, point (a), of Directive 2014/59/EU.
0470–0480	ADJUSTMENTS FOR CALIBRATING THE RECAPITALISATION AMOUNT AS A PERCENTAGE OF TEMAdjustments to the recapitalisation amount resulting from changes in the balance sheet post resolution pursuant to of Article 45c(3), first subparagraph, point (b)(ii), or of Article 45c(7), first subparagraph, point (b)(ii), of Directive 2014/59/EU expressed as a percentage of the total exposure amount.
0410, 0430, 0450, 0470	UPWARDS
0420, 0440, 0460, 0480	DOWNWARDS
0490–0540	TRANSITION PERIODReporting authorities shall indicate any intermediary target they may have set for the years after the reporting date. The target shall be expressed both as a percentage of TREA and as a percentage of TEM.
0490, 0520	MREL LEVELReporting authorities shall indicate the total MREL level institutions shall meet at the intermediary date.
0500, 0530	SUBORDINATIONReporting authorities shall indicate the total subordinated level institutions shall meet at the intermediary date.
0510, 0540	DATE OF APPLICATIONReporting authorities shall indicate the transition dates of the path to MREL compliance.’