Further harmonising EU insolvency law from a banking resolution perspective?

Summary:

Further to recent resolution and liquidation cases experienced in the Banking Union, both the Single Resolution Mechanism (SRM) and the Single Supervision Mechanism (SSM) have called for further harmonisation of insolvency law. In April 2018, the SRB stressed that 'the divergence of national insolvency laws is a major obstacle towards a fully-fledged Banking Union'. As part of the SRM review due by 31 December 2018, the European Commission shall 'evaluate the necessity of taking steps order to harmonise insolvency proceedings for failed institution'.

This briefing explains why the completion of the Banking Union might need to be underpinned by further progress in harmonising Member States’ insolvency law.

• Primary Source

• Alternative Source