EBA Draft RTS: Cooperation & Colleges for Third-Country Branches CRD6

Summary of EBA CP 2025/15 (11 July 2025)

EBA’s Draft Regulatory Technical Standards on Cooperation and Colleges of Supervisors for Third-Country Branches under Article 48p(7) of CRD6

Introduction and Purpose

The European Banking Authority (EBA) is consulting on draft Regulatory Technical Standards (RTS) issued under Article 48p(7) of Directive 2013/36/EU (CRD6). These RTS aim to specify the mechanisms of cooperation and the conditions for the functioning of colleges of supervisors for competent authorities supervising third-country branches (TCBs) and subsidiary institutions of the same third-country group. The consultation is open for comments until 10 October 2025.

The RTS are designed to ensure effective and efficient supervision of third-country groups within the EU by fostering cooperation and information exchange between competent authorities. They build on the experience of supervisory colleges for credit institutions under CRD but are tailored to the specificities of TCBs.

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Impact on firms

Although these draft RTS only have an indirect impact on firms, it will be important to understand how your TCB will be supervised.

Executive Summary

The RTS are structured into two main chapters:
1. Establishment and Functioning of Colleges of Supervisors

• Focuses on colleges for TCBs classified as Class 1 under Article 48a CRD6.
• Includes provisions for mapping the structure of third-country groups, establishing colleges, and coordinating supervisory activities in both normal and emergency situations.

2. General Cooperation and Information Exchange

• Covers cases where no college of supervisors is required.
• Provides mechanisms for written coordination and cooperation arrangements between competent authorities supervising TCBs and subsidiaries.

The RTS aim to:

• Harmonise supervisory practices across Member States.
  -Ensure comprehensive supervision of TCBs to prevent regulatory arbitrage.
• Promote efficient information sharing and coordination in both going-concern and emergency situations.

Key Provisions of the RTS

1. Establishment and Functioning of Colleges of Supervisors (Chapter 1)

• Mapping of Third-Country Groups:
  Competent authorities must map the presence of third-country groups in the EU, identifying subsidiaries and TCBs, their importance, and supervisory authorities.
• Establishment of Colleges:
  Colleges are required for Class 1 TCBs. The lead competent authority (LCA) is responsible for setting up the college and inviting relevant authorities, including the EBA, as members or observers.
• Coordination and Cooperation:
  Written arrangements must include:
  • Information exchange protocols.
  • Emergency contact lists.
  • Procedures for supervisory planning and coordination in both normal and emergency situations.
• Emergency Situations:
  Colleges must establish frameworks for coordinated responses, including information sharing, supervisory assessments, and external communications.

2. General Cooperation and Information Exchange (Chapter 2)

• Written Coordination and Cooperation Arrangements:
  Where no college is required, competent authorities must establish written agreements to facilitate cooperation. These must include:
• Information exchange protocols.
• Arrangements for supervisory planning and coordination.
• Emergency contact lists.
• Information Exchange:
  Competent authorities must share information on:
  • Financial data (e.g., assets, liabilities, off-balance sheet items).
  • Risk management and governance arrangements.
  • Non-compliance, sanctions, and corrective measures.
• Emergency Situations:
  Authorities must cooperate closely during emergencies, sharing relevant information and coordinating responses.

Consultation Questions

The EBA seeks feedback on the following:

1. Are the provisions on the establishment and functioning of colleges of supervisors appropriate and clear?
2. Are the provisions on general cooperation and information exchange outside the college context appropriate and clear?
3. Do the draft RTS provide an appropriate level of proportionality for the specific context of TCBs?

Next Steps

The final draft RTS will be submitted to the European Commission by 10 January 2026.

This summary provides an overview of the key elements of the draft RTS. For further details, please refer to the full consultation paper.