"There will be no 'Big Bang'," warns top ECB supervisor as she announces plan to cut red tape for EU banks

15:14 - 11 June 2025

Financial Services

The European Central Bank will cut red tape for banks in areas such as buybacks and new appointments, but lenders should not expect wholesale deregulation, the ECB's top supervisor Claudia Buch has said.

The ECB is facing growing calls from banks to ease the supervisory burden it places on them, as US President Donald Trump's administration has pledged to do with its own lenders.

Buch, Chair of the ECB’s Supervisory Board, said the ECB would simplify the way in which it approves banks' purchases of shares and bonds, their internal models and securitisations, as well as new board members and investors.

"We can improve the system and make it less complex," Buch said.

The ECB's annual Supervisory Review and Evaluation Process of banks was also being simplified, with improvements phased in over three years.

Though Buch was keen to rein in hopes of sudden, radical change. "There will be no 'Big Bang'," she said.

"There will be no 'Big Bang'," warns top ECB supervisor as she announces plan to cut red tape for EU banks

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