SRB chair urges resolution authorities to widen their perimeter beyond banks
SRB Chair Dominique Laboureix used his closing remarks at the IADI conference in Berlin to set out where the resolution and deposit-insurance agenda needs to move. He frames the task around three questions: whether the regulatory perimeter still captures the right firms, whether authorities focus on the right risks, and whether existing tools are fit for a more interconnected system. It signals the direction of SRB and FSB work rather than any new rule.
- Laboureix set out three test questions for the financial safety net: whether authorities are looking at the right perimeter, focusing on the right risks, and holding tools fit for a new environment.
- He cited the FSB thematic review finding only four of 19 jurisdictions assessed fully compliant with Key Attribute 6 on funding in resolution, with the EU Banking Union not among them.
- He argued operational incidents such as cyberattacks and third-party outages must become part of the crisis-preparedness agenda, citing the July 2024 CrowdStrike outage and the 20 October Revolut disruption linked to a Google Cloud failure in London.
- He noted the European Commission's work on banking-sector competitiveness hints the Single Resolution Fund could take on a deposit insurance role for the largest banks and provide liquidity support to national deposit guarantee schemes.
- He pointed to the revised IADI Core Principles 17 and 18 and the FSB Crisis Preparedness Strategic Review as the framework for closer cross-border and cross-sector cooperation.