Press Release: Council adopts rules setting up single resolution mechanism

The Council of the European Union adopted on the 14 July 2014 a regulation establishing a single resolution mechanism for failing banks.

The creation of a single resolution mechanism (SRM) – with a central decision-making board and a single resolution fund – ensures that resolution decisions across participating member states will be taken in a coordinated and effective manner, minimising negative impacts on financial stability and reducing the dependence of banks on the creditworthiness of sovereigns.

• Primary Source

ESO: Key Source: European Banking Union http://www.europeansources.info/record/european-banking-union-2/

ESO: Background information: Council adopts rules on bank recovery and resolution http://www.europeansources.info/record/press-release-council-adopts-rules-on-bank-recovery-and-resolution/

ESO: Background information: Parliament lifts bank bailout burden from taxpayers’ shoulders http://www.europeansources.info/record/press-release-parliament-lifts-bank-bailout-burden-from-taxpayers-shoulders/

European Commission: The EU Single Market: Financial Services: Banking union: Single Resolution Mechanism http://ec.europa.eu/internal_market/finances/banking-union/single-resolution-mechanism/index_en.htm

---