Horizon Scanner Finance March 2026 - European Developments

AMLA

The Authority for Anti-Money Laundering and Countering the Financing of Terrorism's (AMLA) consultation on draft regulatory technical standards (RTS) on pecuniary sanctions, administrative measures and periodic penalty payments under Article 53(10) of Directive (EU) 2024/1640 (the Sixth Money Laundering Directive / MLD6) closes on 9 March 2026.

Article 53(10) of MLD6 requires AMLA to issue a draft RTS to specify indicators to classify the level of gravity of breaches, establish criteria to be taken into account when setting the level of pecuniary sanctions or applying administrative measures, and develop a methodology for the imposition of periodic penalty payments, including their frequency. As regards breaches, the approach proposed in the draft RTS consists of three steps:

• supervisors will assess the level of gravity of a breach using a list of indicators;
• supervisors will classify the level of gravity of a breach in one of four categories by order of severity; and
• supervisors will determine the level of pecuniary sanctions or administrative measures using set criteria.

The draft RTS also contains specific provisions for natural persons who are not themselves obliged entities, including senior management and members of the management body in its supervisory function.

Press Release: Consultation on the draft RTS on pecuniary sanctions, administrative measures and periodic penalty payments

Consultation Paper: Consultation paper on draft RTS on pecuniary sanctions, administrative measures and periodic penalty payments

Capital Requirements Directive (CRD VI)

The European Banking Authority's (EBA) consultation on draft RTS and Implementing Technical Standards (ITS) concerning material acquisitions, material transfers of assets or liabilities, and mergers and divisions involving credit institutions or (mixed) financial holding companies under Directive 2013/36/EU (CRD IV) as amended by Directive (EU) 2024/1619 (CRD VI) closes on 5 March 2026.

CRD VI introduces three new supervisory tools in relation to material operations carried out by credit institutions, financial holding companies or mixed financial holding companies. The new supervisory tools cover: (a) acquisitions of material holdings in financial or non-financial sector entities, (b) material transfer of assets and liabilities; and (c) mergers and divisions.

The draft RTS further specify aspects of these material operations, namely:

• the minimum list of information to be provided for material acquisitions, material transfers of assets and liabilities, mergers and divisions;
• a common assessment methodology of the criteria set out for the supervisory scrutiny of material acquisitions, mergers and divisions; and
• the process applicable to notification and the prudential assessment required for the tools on material acquisitions, mergers and divisions.

The ITS establish common procedures, forms and templates for the consultation process between the relevant competent authorities.

The RTS and ITS are designed to support banking consolidation and deepen EU market integration by clarifying supervisory expectations, reducing regulatory uncertainty and ensuring consistent prudential assessment across the EU.

Press Release: The EBA consults on draft technical standards on prudentially material transactions under the Capital Requirements Directive

Consultation Paper: Consultation paper on draft RTS and ITS

CSDR – prudential requirements

The EBA's consultation on draft revisions to its RTS on certain prudential requirements for central securities depositories (CSDs) and designated credit institutions offering banking-type ancillary services under Regulation (EU) No 909/2014 of the European Parliament and of the Council of 23 July 2014 (the Central Securities Depositories Regulation / CSDR) closes on 3 March 2026.

Regulation (EU) 2023/2845 of the European Parliament and of the Council of 13 December 2023 (the CSDR Refit Regulation) brought in the ability for banking CSDs to offer banking services directly to participants of other CSDs. This was previously limited to designated credit institutions. A potential result of this policy measure is a change in the risk profile of CSDs, particularly in relation to potential credit, liquidity and concentration risks resulting from the provision of those services.

Commission Delegated Regulation (EU) 2017/390 supplements the CSDR by setting out the prudential framework for banking CSDs and credit institutions. In light of the changes introduced by the CSDR Refit Regulation, the EBA is proposing to amend these RTS in order to ensure the prudential framework adequately reflects and mitigates the potential additional complexity in CSD arrangements.

Press Release: The EBA consults on amendments to technical standards on prudential requirements for central securities depositories

Consultation Paper: Consultation Paper on draft RTS amending 2017/390

ECB – statistics

Council Regulation (EU) 2026/415 of 16 December 2025 amending Regulation (EC) No 2533/98 concerning the collection of statistical information by the European Central Bank (the ECB) enters into force on 12 March 2026.

Council Regulation (EC) No 2533/98 is a key component of the legal framework supporting the statistical collection tasks of the ECB assisted by the national central banks. The ECB has consistently relied on that Regulation to carry out and monitor the coordinated collection of statistical information necessary to undertake the tasks of the European System of Central Banks (ESCB).

This Council Regulation amends Council Regulation (EC) No 2533/98 in order to:

• take into account the digital transformation, which allows data to be collected more efficiently but also creates new data needs;
• adapt the legal framework to support the "report once" principle and to facilitate the maximum use of existing information (while respecting confidentiality and data protection requirements);
• facilitate the production of timelier, more frequent and more detailed statistics;
• clarify the reporting population; and
• update the ECB's sanctioning powers to ensure that they are of sufficient deterrent effect.

EU Banking Market

The European Commission's (the Commission) call for evidence on the competitiveness of the single banking market closes for feedback on 11 March 2026.

The initiative aims to examine the issues that may affect the competitiveness of the EU's banking sector, assess their economic impact, and identify ways to address them. Responses to the call for evidence will inform the Commission's 2026 report on competitiveness in the single banking market, which it expects to adopt in Q3 2026.

Call for Evidence: Competitiveness in the single banking market

EU Bank Resolution

The Single Resolution Board's (the SRB) consultation on (i) the operational guidance on the Business Reorganisation Plan Analysis Reports and (ii) the Business Reorganisation Plan Analysis Reports quantitative template closes for feedback on 30 March 2026.

The implementation of a 'bail-in' requires reasonable prospects of financial soundness and long-term viability for a bank. Following a bail-in implementation, institutions are required to prepare and deliver a Business Reorganisation Plan within one month. To demonstrate their capabilities to do so, banks are requested to prepare a Business Reorganisation Plan Analysis Report in the resolution planning phase. The new guidance streamlines existing requirements on the Business Reorganisation Plan Analysis Report in a single document in line with the drive towards simplification.

Press Release: SRB launches public consultation on streamlining its approach on Business Reorganisation Plan Analysis Report

Consultation Paper: Public consultation on the Operational Guidance for banks on Business Reorganisation Plan Analysis Reports and quantitative template

Insurance Recovery and Resolution Directive

Seven European Insurance and Occupational Pensions Authority (EIOPA) consultations on policy instruments related to the implementation of Directive (EU) 2025/1 of the European Parliament and of the Council of 27 November 2024 (the Insurance Recovery and Resolution Directive / IRRD) close for feedback on 20 March 2026.

The consultation papers propose draft guidelines and technical standards covering the scenarios and indicators to be used in pre-emptive recovery plans, the criteria for simplified obligations and the methodology for establishing the independence of valuers in the resolution process, among others.

• Consultation paper on the proposal for Guidelines to specify further the range of scenarios in pre-emptive recovery planning. These Guidelines put forward a range of macroeconomic and financial stress scenarios to be used for assessing the credibility and feasibility of insurers' pre-emptive recovery plans.
• Consultation paper on the proposal for Guidelines to specify further the qualitative and quantitative indicators in pre-emptive recovery planning. These Guidelines define the indicators to be considered in pre-emptive recovery plans, including indicators related to capital and liquidity positions, asset quality, profitability, market conditions, macroeconomic conditions and operational events.
• Consultation paper on the proposal for Guidelines to specify how information should be provided in summary or collective form. These Guidelines establish the rules regarding the use of exemptions to professional secrecy for confidential information, notably for cases where disclosures are made in summary or in collective form without allowing the identification of individual entities.
• Consultation paper on the proposal for Guidelines to specify further details on the criteria to determine whether simplified obligations can apply for certain insurance and reinsurance undertakings and groups. These Guidelines outline eligibility criteria for simplified obligations. EIOPA further specifies factors like the nature of business, shareholding structure, legal form, risk profile, size, legal status, interconnectedness metrics as well as the scope and complexity of activities to be considered when assessing whether an undertaking or group is eligible for simplified obligations.
• Consultation paper on the proposal for Regulatory Technical Standards on the independence of valuers for resolution under Article 24(6), point (a), of the Directive (EU) 2025/1 of the European Parliament and of the Council of 27 November 2024 establishing a framework for the recovery and resolution of insurance and reinsurance undertakings. These RTS specify the conditions under which a candidate valuer is deemed to be independent from both the resolution authority and the entity under resolution and may perform the valuation of an entity's assets and liabilities.
• Consultation paper on the proposal for Regulatory Technical Standards on contractual recognition of resolution stay powers under Article 52 of the Directive (EU) 2025/1 of the European Parliament and of the Council of 27 November 2024 establishing a framework for the recovery and resolution of insurance and reinsurance undertakings. These RTS establish standardised terms for financial contracts that would allow the resolution authority to exercise its stay powers (i.e. powers to suspend or restrict rights and obligations) over contracts governed by third-country law.
• Consultation paper on the proposal for Regulatory Technical Standards specifying methodologies and principles on the valuation of liabilities arising from derivatives. These RTS specify methodologies and principles for the valuation of liabilities arising from derivatives in the resolution process.

Insurance – Solvency II

Commission Delegated Regulation (EU) 2026/269 of 29 October 2025 amending Delegated Regulation (EU) 2015/35 (the Solvency II Delegated Regulation) as regards technical provisions, long-term guarantee measures, own funds, equity risk, spread risk on securitisation positions, other standard formula capital requirements, reporting and disclosure, proportionality and group solvency has been published in the Official Journal. It enters into force on 10 March 2026, and applies from 30 January 2027.

The Solvency II Delegated Regulation supplements Directive 2009/138/EC (the Solvency II Directive) by setting out prudential rules for insurance and reinsurance companies in the EU. This Delegated Regulation amends the Solvency II Delegated Regulation to insert the following key changes:

• simplified access to preferential treatment for long‑term equities;
• changes to the "long‑term guarantee measures" to help smooth the effect of short‑term market fluctuations on insurers' solvency positions;
• rules are made more proportionate for smaller or less complex insurers so that they face lighter requirements;
• simplified supervisory reporting;
• parameters for natural catastrophe risk are updated; and
• the removal of the double-rating requirement for STS securitisations.

Listing Regulation

Regulation (EU) 2024/2809 of the European Parliament and of the Council of 23 October 2024 (the Listing Regulation) entered into force on 4 December 2024, however Article 1, point (7)(g), and points (11) to (14) will apply from 5 March 2026.

These provisions amend Regulation (EU) 2017/1129 of the European Parliament and of the Council of 14 June 2017 (the Prospectus Regulation) to introduce two new short-form prospectuses:

• The EU follow‑on prospectus, for follow-on issuances by companies whose securities have been admitted to trading on a regulated market or an SME growth market for at least 18 months on a continuous basis, including companies that are seeking to make a transition from an SME growth market to a regulated market.
• The EU growth issuance prospectus, for SMEs, companies listed or to be listed on SME growth markets and for small unlisted public offers of securities up to €50 million.

The new EU Follow-on Prospectus will replace the simplified disclosure regime for secondary issuances under the Prospectus Regulation, which was viewed as being "too prescriptive and too close to that of a standard prospectus to make a significant difference". It will also replace EU Recovery Prospectuses.

The new EU Growth Prospectus will replace the current EU Growth Prospectus, again because the existing format is seen to be too prescriptive and too close to the requirements of a standard prospectus.

MiFIR

Commission Delegated Regulation (EU) 2025/1246 of 18 June 2025 amending the RTS laid down in Delegated Regulations (EU) 2017/583 and (EU) 2017/587 as regards transparency requirements for trading venues and investment firms in respect of bonds, structured finance products, emission allowances and equity instruments entered into force on 23 November 2025. Article 1, Article 2, point (2), points (3)(a) and (c), point (5), point (10)(a), and point (13) will apply from 2 March 2026.

Regulation (EU) 2024/791 of the European Parliament and of the Council of 28 February 2024 (MiFIR Review) amended Regulation (EU) No 600/2014 of the European Parliament and of the Council of 15 May 2014 (MiFIR) in order to:

• simplify and harmonise the transparency requirements applicable to trading venues and investment firms in respect of equity and non-equity instruments;
• increase trade transparency (in particular, for non-equity instruments, such as bonds and derivatives); and
• improve the price formation process.

In light of the amended MiFIR transparency rules, it became necessary to update the related RTS. The Commission Delegated Regulation referred to above amends Commission Delegated Regulation (EU) 2017/583 in order to:

• update and/or delete provisions to ensure alignment with the reviewed MiFIR provisions that have already entered into application;
• update pre-trade transparency requirements in respect of bonds, structured finance products (SFPs) and emission allowances; and
• calibrate post-trade transparency requirements for bonds, SFPs and emission allowances.

The Commission Delegated Regulation also amends Commission Delegated Regulation (EU) 2017/587 to, amongst other things:

• specify the details of pre-trade data to be made public by market operators and investment firms;
• refine the methodology to determine the most relevant market in terms of liquidity; and
• facilitate the use of transaction data reported under MiFIR as the data source to perform transparency calculations for equity instruments.

Commission Delegated Regulation (EU) 2025/1155 of 12 June 2025 supplementing MiFIR with regard to RTS specifying the input and output data of consolidated tapes, the synchronisation of business clocks and the revenue redistribution by the consolidated tape provider for shares and ETFs, and repealing Commission Delegated Regulation (EU) 2017/574 entered into force on 23 November 2025. Articles 11 to 16 will apply from 2 March 2026.

Articles 11 to 16 set out details in relation to the synchronisation of business clocks, including provisions relating to: (i) the reference time (Coordinated Universal Time) to synchronise to; (ii) the levels of accuracy that business clocks must adhere to; and (iii) the requirement to be able to demonstrate traceability to Coordinated Universal Time in relevant systems.

This article contains a general summary of developments and is not a complete or definitive statement of the law. Specific legal advice should be obtained where appropriate.