Stock Take of the SRB’s activities over the past years: What to Improve and Focus On?

This paper discusses from a legal perspective how, over the past years, the SRB has performed against the main goals it was supposed to accomplish, in light of the decisions taken so far (looking backwards) and points to some of the challenges ahead (looking forward). These include inconsistencies in the implementation of the BRRD/SRMR regime, in particular with regard to the ‘dichotomy’ between liquidation and resolution, the resulting fragmentation along national lines, the interpretation of the public interest test, and the complexity and inefficiency of the existing system of ‘multi-layered’ litigation. The ongoing work of the SSM and the SRM and the development of Banking Union need to continue to address the ‘fault lines’ in their design and provide for a better alignment of the triggers for resolution and liquidation and greater transparency on the outcome of resolution planning.