Section 1 — Establishment and functioning of colleges of supervisors
Members and observers of a college of supervisors
1. Following the mapping of the institution with branches in other Member States carried out in accordance with the procedure set out in Article 18 of Implementing Regulation (EU) 2025/790, the competent authority of the home Member State shall request the following authorities to become members of the college of supervisors:
(a)
the competent authorities of the host Member States where significant branches are established;
(b)
the ESCB central banks of Member States that are involved in accordance with their national law in the prudential supervision of the significant branches referred to in point (a), but that are not competent authorities;
(c)
EBA.
2. The competent authority of the home Member State shall request the following authorities to become observers of the college of supervisors in accordance with the procedure set out in Article 2(1) of Implementing Regulation (EU) 2025/790:
(a)
the supervisory authorities of third countries where institutions are authorised or branches that are deemed important for the group, as set out in Article 2(3), point (c), of this Regulation are established, provided that those supervisory authorities are subject to confidentiality requirements laid down in Article 116 of Directive 2013/36/EU;
(b)
the resolution authority of the home Member State;
(c)
the AML/CFT authority of the home Member State;
(d)
where a second intermediate EU parent undertaking has been established in accordance with Article 21b(3), second subparagraph, of Directive 2013/36/EU, the consolidating supervisor, or the group supervisor of that second college of supervisors;
(e)
for a financial conglomerate, the coordinator referred to in Article 11(1) of Directive 2002/87/EC, where different from the competent authority of the home Member State.
3. The competent authority of the home Member State may request the following authorities to become observers of the college of supervisors in accordance with the procedure set out in Article 2(1) of Implementing Regulation (EU) 2025/790:
(a)
the competent authorities of host Member States where non-significant branches are established;
(b)
the supervisory authorities of third countries, other than the authorities referred to in paragraph 2, point (a);
(c)
the public authorities or bodies in a Member State that are responsible for or involved in the supervision of the institution or its branches, provided that the competent authority of the same host Member State has accepted to become a member or observer of the college of supervisors, including:
(i)
AML/CFT authority in a Member State;
(ii)
competent authorities responsible for the supervision of markets in financial instruments;
(iii)
authorities responsible for consumer protection;
(d)
resolution authorities of host Member States, provided that the competent authority of the same host Member State has accepted to become a member or observer of the college of supervisors.
Communication about the establishment and composition of a college of supervisors
The competent authority of the home Member State shall communicate to the institution the establishment of a college of supervisors, the identity of its members and observers, and any changes in the composition of that college.
Written coordination and cooperation arrangements
The establishment and functioning of colleges of supervisors for significant branches referred to in Article 51(3) of Directive 2013/36/EU shall be based on written coordination and cooperation arrangements determined in accordance with Article 5 of this Regulation.
Participation in meetings and activities of colleges of supervisors
1. When deciding which authorities shall participate in a meeting or activity of the college of supervisors in accordance with Article 51(3) of Directive 2013/36/EU, the competent authority of the home Member State shall take into account the following:
(a)
the topics to be discussed, the activities to be considered, and the objectives of the meeting or activity, in particular with regards to their relevance for each branch and for the performance of the tasks of the observers;
(b)
the importance of the branch in the Member State where that branch is established and its importance for the institution.
2. The competent authority of the home Member State may invite the observers of the college of supervisors only to those specific agenda items of a meeting or activity that are relevant for the performance of the tasks of the observer.
3. The competent authority of the home Member State and the members of the college of supervisors shall, based on the topics discussed and objectives pursued, ensure that the most appropriate representatives participate in meetings or activities of the college of supervisors. Those representatives shall have the power to commit their authorities as members of the college of supervisors, to the maximum extent possible, for the decisions planned for the meetings or activities.
4. The competent authority of the home Member State may, based on the topics and objectives of the meeting or activity, invite representatives of the institution to participate in meetings or activities of the college of supervisors.
Communication with the institution and its branches
The communication with the institution and its branches shall be organised in correspondence with the supervisory responsibilities of the competent authority of the home Member State and the members of the college of supervisors as laid down in Title V, Chapter 4, and Title VII of Directive 2013/36/EU.
Section 2 — Planning and coordination of supervisory activities in going concern situations
Exchange of information between the competent authority of the home Member State and members of the college of supervisors
1. The competent authority of the home Member State and the members of the college of supervisors shall exchange all information necessary to facilitate the cooperation under Article 50 and Article 51(2) of Directive 2013/36/EU.
2. The competent authority of the home Member State and the members of the college of supervisors shall exchange all information necessary to facilitate the cooperation referred to in Articles 6, 7 and 8 of Directive 2014/59/EU.
3. The competent authority of the home Member State and the members of the college of supervisors shall exchange the information referred to in Articles 6 and 15 of Commission Delegated Regulation (EU) No 524/2014 ( 16 ) .
4. The competent authority of the home Member State and the members of the college of supervisors shall exchange the information referred to in paragraphs 1 to 3, whether received from the institution, a competent authority, a supervisory authority or any other source. That information shall be sufficiently adequate, accurate and timely.
Exchange of information between the competent authority of the home Member State and the observers of the college of supervisors
1. Where the information referred to in Article 32 is relevant for the performance of the tasks of the observers as set out in the written coordination and cooperation arrangements of the college of supervisors, the competent authority of the home Member State shall communicate that information to the relevant observers.
2. The resolution authority of the home Member State and the competent authority of the home Member State shall exchange all information required to ensure that the college of supervisors and the resolution college fulfil their role as set out in Article 51(3) of Directive 2013/36/EU and in Article 88 of Directive 2014/59/EU, respectively.
3. The competent authority of the home Member State shall provide the resolution authority of the home Member State with the following:
(a)
the required own funds pursuant to Article 104(1), point (a), of Directive 2013/36/EU and any guidance on additional own funds communicated to institutions in accordance with Article 104b of that Directive;
(b)
relevant information for the purposes of Articles 12, 13, 16, 18, 25, 30, 45h, 91 and 92 of Directive 2014/59/EU;
(c)
information referred to in Article 32(3) of this Regulation.
Exchange of information on the outcome of the supervisory review and evaluation and of information on early warning signs, potential risks, and vulnerabilities
1. The competent authority of the home Member State shall communicate to the members of the college of supervisors:
(a)
the information referred to in Article 3, 4 and 5, Articles 7 to 13 and Article 17 of Delegated Regulation (EU) No 524/2014;
(b)
the value of the leverage ratio of the parent entity referred to in Article 429 of Regulation (EU) No 575/2013;
(c)
the required own funds referred to in Article 104(1), point (a), of Directive 2013/36/EU and any guidance on additional own funds in accordance with Article 104b of that Directive as a result of the supervisory review and evaluation carried out in accordance with Article 97 of that Directive.
2. For the purposes of identifying risks and vulnerabilities for the institution and its significant branches, the competent authority of the home Member State and the members of the college of supervisors shall exchange qualitative and quantitative information on:
(a)
the macroeconomic environment in which the institutions and its significant branches operate;
(b)
adverse developments in markets that may have the potential to jeopardise the market liquidity and the stability of the financial system in the Member States where the institution or its significant branches are established and may adversely impact the institution and its significant branches.
3. Where the institution infringes or, due, inter alia, to a rapidly deteriorating financial condition, is likely in the near future to infringe the requirements of Regulation (EU) No 575/2013 or Directive 2013/36/EU as referred to in Article 27(1) of Directive 2014/59/EU, the competent authority of the home Member State shall provide the members of the college of supervisors with the following information:
(a)
whether the conditions for application of early intervention measures are met;
(b)
whether early intervention measures are taken or planned in accordance with Articles 27 and 30 of Directive 2014/59/EU;
(c)
an indication of the potential consequences of those early intervention measures.
Exchange of information for the assessment of the recovery plan
1. The competent authority of the home Member State shall consult the members of the college of supervisors on the recovery plan where relevant to the significant branch concerned, in accordance with Article 6(2) of Directive 2014/59/EU.
2. For the purposes of paragraph 1, the competent authority of the home Member State shall provide the recovery plan of the institution to the members of the college of supervisors in accordance with Article 20 of Implementing Regulation (EU) 2025/790.
3. The competent authority of the home Member State shall inform all members of the college of supervisors of the outcome of the consultation referred to in paragraph 1.
Examination programme
1. For the purposes of adopting the examination programme of the college of supervisors referred to in Article 99 of Directive 2013/36/EU, the competent authority of the home Member State and the members of the college of supervisors shall identify the supervisory activities to be undertaken.
2. The examination programme of the college of supervisors shall contain at least the following:
(a)
the areas of joint work identified as a result of the supervisory review and evaluation pursuant to Article 97 of Directive 2013/36/EU or as a result of any other activities undertaken by the college of supervisors;
(b)
the areas of focus of the work of the college of supervisors and its planned supervisory activities, including planned on-the-spot checks and inspections of the significant branches pursuant to Article 52(3) of Directive 2013/36/EU;
(c)
the members of the college of supervisors responsible for undertaking the planned supervisory activities;
(d)
where relevant, the allocation of tasks and responsibilities for entrustment of tasks and delegation of responsibilities respectively;
(e)
where applicable, the observers of the college of supervisors where those observers are involved in a supervisory activity;
(f)
the expected timelines, both in terms of timing and duration, for each of the planned supervisory activities.
3. When establishing and updating the examination programme of the college of supervisors, the competent authorities of the home Member State and the members of the college of supervisors shall exchange views on possible entrustment of tasks and delegation of responsibilities. On that basis, the competent authorities of the home Member State and the members of the college of supervisors shall consider to conclude an agreement, on a voluntary basis, on entrustment of tasks, including any possible delegation of responsibilities, where relevant, pursuant to Article 116(1), point (b), of Directive 2013/36/EU, provided that such entrustment or delegation is expected to lead to more efficient and effective supervision of the group, in particular by removing unnecessary duplications of supervisory requirements, including requirements in relation to information requests.
4. The conclusion of an agreement on entrustment of tasks or delegation of responsibilities shall be notified by the competent authorities of the home Member State to the institution concerned, and by the competent authority that delegates its powers to the branch concerned.
Event of adverse material effect on the risk profile of the institution or its significant branches
1. The competent authority of the home Member State and the relevant members of the college of supervisors shall exchange quantitative and qualitative information on any event of adverse material effect in the institution or its significant branches that could seriously affect the institution as referred to in Article 117(1), point (c), of Directive 2013/36/EU.
2. In case of such an event of adverse material effect on the risk profile of the institution or its significant branches established in a Member State, competent authorities shall assess the consequences of such event on the institution and its significant branches and determine:
(a)
the nature and severity of the event;
(b)
the impact or potential impact of the event on the available own funds and liquidity level of the institution and its significant branches and whether the institution continues to comply with Regulation (EU) No 575/2013 or Directive 2013/36/EU in adverse macroeconomic, microeconomic, and geopolitical conditions;
(c)
the ability of the institution and its significant branches to operate in severe business disruption;
(d)
risk of cross-border contagion and the potential systemic impact.
3. Upon being alerted of an event of adverse material effect on the risk profile by any member of the college of supervisors, or after having identified such event, the competent authority of the home Member State shall inform the members of the college of supervisors that supervise significant branches affected or likely to be affected by that event, and EBA. Observers, in particular the resolution authority of the home Member State, shall be informed if the information is relevant for the performance of their tasks.
4. The competent authority of the home Member State and the members of the college of supervisors that supervise significant branches affected or likely to be affected by the event of adverse material effect shall monitor the situation and update the information referred to in paragraph 1, where applicable, immediately when relevant new information is available.
5. Based on the outcome of the assessment of the event of adverse material effect referred to in paragraph 2 and the foreseen evolution of that event, the competent authority of the home Member State and the relevant members of the college of supervisors may coordinate the development of a coordinated supervisory response.
Section 3 — Planning and coordination of supervisory activities in preparation for and during emergency situations and final provisions
College framework for emergency situations
1. The competent authority of the home Member State and the members of the college of supervisors shall establish a college framework in anticipation of possible emergency situations in accordance with Article 112(1), point (c), of Directive 2013/36/EU (‘college framework for emergency situations’).
2. The college framework for emergency situations shall include the following:
(a)
the college-specific procedures that shall apply where an emergency situation as referred to in Article 114(1) of Directive 2013/36/EU arises;
(b)
the minimum information that shall be exchanged where an emergency situation as referred to in Article 114(1) of Directive 2013/36/EU arises.
3. The minimum information referred to in paragraph 2, point (b), shall include the following:
(a)
an outline of the emergency situation that has occurred, including the underlying cause of the emergency situation, and the expected impact of the emergency situation on the institution, on the market liquidity and on the stability of the financial system;
(b)
an explanation of the measures and actions that have been taken or are planned, by the competent authorities of the home Member State or any of the members of the college of supervisors or by the institution itself in response to the emergency situation;
(c)
the latest available quantitative information regarding the liquidity and capital position of the institution.
Exchange of information during an emergency situation
1. The competent authority of the home Member State and the members of the college of supervisors shall exchange all information necessary to facilitate the exercise of the tasks referred to in Article 114(1) of Directive 2013/36/EU, subject to the confidentiality requirements laid down in Section II of Chapter 1 of Title VII of that Directive, and where applicable, Articles 76 and 81 of Directive 2014/65/EU.
2. Upon being alerted of an emergency situation by any member or observer of the college or after having identified an emergency situation, the competent authority of the home Member State shall communicate the information referred to in Article 36(2), point (b), following the procedures established in accordance with point (a) of that paragraph, to the members of the college of supervisors that supervise significant branches that are affected or likely to be affected by the emergency situation, and to the EBA.
3. Depending on the nature, severity, potential systemic impact or other impact, and on the likelihood of contagion of the emergency situation, the members of the college of supervisors that supervise significant branches affected or likely to be affected by that emergency situation and the competent authority of the home Member State may exchange additional information.
4. Where the information referred to in paragraphs 2 and 3 is relevant for the performance of the tasks of observers, and in particular of the resolution authority of the home Member State, the competent authority of the home Member State shall communicate that information to those observers.
5. When responding to an emergency situation as referred to in Article 27 of Implementing Regulation (EU) 2025/790, the competent authority of the home Member State shall without undue delay involve the resolution authority of the home Member State and share input from that authority with the members of the supervisory college.
Coordination of the supervisory assessment of an emergency situation
1. Where an emergency situation occurs, the competent authority of the home Member State shall coordinate and prepare the assessment of the emergency situation (‘coordinated supervisory assessment’) in cooperation with the members of the college of supervisors pursuant to Article 112(3) of Directive 2013/36/EU.
2. The coordinated supervisory assessment of the emergency situation shall cover the following:
(a)
the nature and severity of the emergency situation;
(b)
the impact or potential impact of the emergency situation on the institution and on any of its affected or likely to be affected branches;
(c)
the risk of cross-border contagion.
3. For the purposes of paragraph 2, point (c), the competent authority of the home Member State shall consider the potential systemic consequences in any of the Member States where significant branches are established.
Coordination of the supervisory response to an emergency situation
1. Where an emergency situation occurs, the competent authority of the home Member State shall coordinate the development of a supervisory response to the emergency situation (‘coordinated supervisory response’) in cooperation with the members of the college of supervisors pursuant to Article 112(3) of Directive 2013/36/EU.
2. The coordinated supervisory response shall be based on the coordinated supervisory assessment referred to in Article 38 and shall specify the supervisory actions needed, their scope, and the timetable for their implementation.
3. The coordinated supervisory response shall be developed by the competent authority of the home Member State and the members of the college of supervisors that supervise significant branches affected or likely to be affected by the emergency situation. The coordinated supervisory response shall take into account input from the resolution college relevant for the management of the emergency situation for the institution, provided by the resolution authority of the home Member State.
Monitoring of the implementation of the coordinated supervisory response to an emergency situation
1. The competent authority of the home Member State and the members of the college of supervisors that supervise significant branches affected or likely to be affected by the emergency situation shall monitor and exchange information on the implementation of the coordinated supervisory response referred to in Article 39.
2. The information referred to in paragraph 1 shall include an update on the implementation of the agreed actions within the foreseen timetable, as referred to in Article 39(2), and the need to update or adjust those actions.
Coordination of external communication in an emergency situation
The competent authority of the home Member State and the members of the college of supervisors that supervise significant branches affected or likely to be affected by an emergency situation shall coordinate to the extent possible their external communications, taking into account the elements referred to in Article 24(2).
Repeal
Delegated Regulation (EU) 2016/98 is repealed.
References to the repealed Delegated Regulation shall be construed as references to this Regulation and read in accordance with the correlation table in the Annex.
Entry into force
This Regulation shall enter into force on the twentieth day following that of its publication in the Official Journal of the European Union .
Source: EUR-Lex (Publications Office of the EU), © European Union, reuse permitted under Commission Decision 2011/833/EU.
