The central bank will drop about 40 of roughly 130 reports and replace a draft governance guide with non-binding good-practice recommendations after industry pushback.
The European Central Bank said it will reduce the number of reports it requires from banks by nearly a third and ease its approach to governance expectations, part of a broader rethink of post-crisis supervision as regulators face industry pressure and a global deregulatory shift. The ECB plans to remove around 40 of roughly 130 reports, saying they are outdated, superseded or no longer relevant. It will also scale back a draft guide on lenders' governance and risk culture, replacing it with a non-binding report on good practices covering issues such as board remuneration, directors' time commitments and whistleblower protection. ECB board member Frank Elderson said the aim is to keep supervisory guidance clear, consistent and fit for purpose in an increasingly complex risk environment. The ECB added that banks can still comply with the legal framework without adopting the practices described in the guides if they use other, more appropriate measures. Other ECB guides, including one on riskier forms of lending, are also being reviewed, with conclusions expected by the end of this year.