17 April 2018
The European Banking Authority (EBA) published today amendments to the Implementing Technical Standards (ITS) on supervisory reporting, a new ITS on reporting for resolution plans and the corresponding Data Point Model (DPM) and XBRL taxonomy. These changes form part of the EBA reporting framework version 2.8, which will be applicable for submissions of data as of December 2018.
Amendments to the ITS on supervisory reporting
The final draft ITS amending the European Commission's Implementing Regulation (EU) No 680/2014 on supervisory reporting aim to keep reporting requirements in line with changes in the regulatory framework and with the evolving needs for Supervisory Authorities' risk assessments. The updated ITS include:
new information on prudent valuation for fair-valued items and supplementary information on credit risk,
high-level information on securitisation subject to the revised securitisation framework introduced by Regulation (EU) 2017/2401 amending the CRR and revised information on selected Pillar 2 items (COREP) and
Q&A- based changes and other minor amendments.
New ITS on resolution reporting requirements
The final draft ITS on reporting requirements for the purposes of drawing up and implementing resolution plans will replace the European Commission's implementing Regulation (EU) 2016/1066, and bring about the following changes:
A clearer scope of application of the minimum resolution framework by laying down a minimum set of data points to be reported by all institutions across the EU. Under certain conditions, resolution authorities will be able to waive some or all reporting requirements or to ask for additional data.
Detailed minimum procedural requirements at least on an annual basis, by end of May in 2019 and by end of April from 2020 onwards.
Revamped templates in line with the latest experience available
A full set of technical annexes to facilitate integration into banks' business processes and automation. For the first time, resolution reporting requirements are integrated in the EBA's single data point model, backed by validation rules and optional taxonomies.
By default, all data under this framework will continue to be submitted by banks to resolution authorities. In line with the applicable law, supervisory authorities may collect information on behalf of resolution authorities. Supervisors and resolution authorities will also cooperate and if information is already available to the supervisors, they may exempt institutions from submitting that data. In such case, they will inform institutions accordingly.
Technical package for version 2.8 of the reporting framework
The documents published today include the following:
A set of XML files forming the XBRL taxonomy; A description of the architecture of the XBRL taxonomy;
A DPM data dictionary database along with a DPM table layout and data point categorisation;
A list of validation rules.
Cooperation with the Single Resolution Board (SRB)
The EBA has cooperated closely with the SRB with regard to the reporting on resolution. The 2.8 version of the reporting framework also contains, for practical reasons, additional information required by the SRB beyond the minimum framework established in EBA ITS on resolution reporting requirements. An integrated DPM and an integrated XBRL taxonomy covering both the minimum data set, as defined by the EBA ITS, and the additional data points, as defined by the SRB, are provided to contain and avoid duplicate reporting by institutions under the SRB jurisdiction. The SRB's additional requirements are under the SRB's responsibility and any question related to it should be addressed directly to them. Please see the following link for more information: https://srb.europa.eu/en/content/liability-data-report
Reports with reference dates as of 31 December 2018 onwards are to use the new taxonomy set (2.8), which is related to the April 2018 framework release for the ITS on Supervisory Reporting and the ITS on resolution reporting.
Background and legal basis
The EBA is required to develop ITS specifying supervisory reporting in the areas of own funds, financial information, losses stemming from lending collateralised by immovable property, large exposures, leverage ratio, liquidity ratios, asset encumbrance, additional liquidity monitoring metrics and supervisory benchmarking. These ITS are adopted by the EU Commission in the form of Implementing Regulations. The present publication comes as an update to the Regulation (EU) No 680/2014.
The EBA is required under Article 11(3) of the BRRD to develop draft implementing technical standards to specify procedures and a minimum set of standard forms and templates for the provision of information necessary to draw up and implement resolution plans. The new draft ITS will replace Regulation (EU) 2016/1066.
The taxonomy defines a representation for data collection under the reporting requirements as defined by EBA technical standards and guidelines. As part of enhancing regulatory harmonisation in the EU banking sector and facilitating cross-border supervision, uniform data definitions and formats are necessary to enable comparable data on credit institutions and investment firms across the EU. Although the EBA XBRL taxonomy was primarily developed for data transmission between Competent Authorities and the EBA, many authorities have been using it for the collection of supervisory reporting from the institutions they supervise. In this respect, the EBA taxonomy will lead to greater efficiency and convergence of reporting and the usage of a common data dictionary will enhance the supervisory practices across Members States.