Question ID
2019_4457
Legal act
Directive 2014/59/EU (BRRD)
Topic
BRRD Reporting
Article
11
Paragraph
3
COM Delegated or Implementing Acts/RTS/ITS/GLs/Recommendations
Draft ITS on the provision of information for the purpose of resolution plans
Article/Paragraph
Annex II, Part II, Paragraph 8
Type of submitter
Credit institution
Subject matter
Unique row identifier for template Z 08.00 - Critical services (SERV)
Question

According to Annex II to ITS on Reporting for Resolution Plans, the combination of values regarding Service type, Service recipient, Service provider, Critical function and Country shall define a unique row identifier.

Given that the combination of values defined as row identifier in template Z 08.00 of Annex II to the ITS on Reporting for Resolution Plans may actually be common to different contracts having different contractual provisions, how, if at all, should institutions report these contracts? (i.e. do institutions have to report one row for each contract, identified by field 0005 Identifier, which would be part of the single row identifier?)

Background on the question

Annex II to ITS on Reporting for Resolution Plans for template Z 08.00 - Critical services (SERV) states that Annex II to ITS on Reporting for Resolution Plans for template Z 08.00 - Critical services (SERV) states that "the combination of values reported in columns 0010, 0030, 0050, 0070 and 0080 of this template forms a primary key which has to be unique for each row of the template".

According to that Annex, the combination of values regarding Service type, Service recipient, Service provider, Critical function and Country shall define a unique row identifier. Since such an information set may be common to different contracts having different contractual provisions required in the template, institutions may need to report one row for each contract, identified by field 0005 Identifier, that would be part of the single row identifier.

Please consider the following topics:

1. some of the information requested by the template refer to the terms and conditions of the contracts regulating the provision of each service (e.g. Governing law, Resolution proof contract)

2. the same service type (as requested in field 0010) may be regulated by more than one single contract, hence, by considering only the service in the primary key the template would not catch the specificities of each underlying contract.

Supposing for example the following situation: Company B (= service provider) provides data storage services (i.e. service type = 2.2) to Bank A (= service recipient) to collect deposits from households in Italy (i.e. critical function 1.1 = and country = IT). Assuming that these services are ruled by two different contracts in place with Company B (e.g. with different estimated time for substitutability or resolution proof clauses), according to the template’s primary key, only one row would be reported into the template, not representing properly the specific features of each single contract.

Having said that, based on our understanding, the field 0005 “Identifier” (set as unique identifier of the combination of each service and related contract) should be included in the primary key of the template in order to allow institutions to report single contracts and avoid misreporting for contractual terms associated to the same service.

Submission date
Rejected publishing date
Rationale for rejection

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Status
Rejected question