European Commission reflects key ESBG recommendations in its roadmap to strengthen banking competitiveness - WSBI ESBG
Brussels, 17 July 2026 – The European Savings and Retail Banking Group (ESBG) welcomes today's publication of the European Commission's Communication on the Competitiveness of the Banking Sector and the Single Market in Banking, recognising it as an important step towards strengthening the competitiveness of Europe's banking sector.
Brussels, 17 July 2026 –The European Savings and Retail Banking Group (ESBG) welcomes today’s publication of the European Commission’s Communication on the Competitiveness of the Banking Sector and the Single Market in Banking, recognising it as an important step towards strengthening the competitiveness of Europe’s banking sector. ESBG is encouraged to see that a number of the recommendations put forward in its recent report,Competitiveness is Now, are reflected in the Commission’s strategic direction. In particular, the Communication acknowledges the need for a more appropriate regulatory framework for banks with simple and prudent business models, an objective that ESBG has consistently advocated. Commenting on the Communication, ESBG Chief Executive Officer, Peter Simon, said:“Banking regulation should serve long-term growth: financing the households, businesses and local investment that create jobs and drive innovation across Europe. A better-calibrated regulatory framework would free up more capacity to deliver on that. The Communication indeed reflects a number of priorities identified by ESBG, including to the simplification of the interaction between prudential, resolution and macroprudential requirements, as well s concrete measures on long-standing issues such as the output floor, macroprudential buffers, Pillar 2 guidance and reporting requirements. A key objective of the future legislative framework should also be to preserve the diversity and unique characteristics of the European banking sector. Europe’s savings and retail banks play an essential role in financing households, SMEs and local communities, and their traditional, low-risk business models should be appropriately recognised within the regulatory framework. At the same time, ESBG notes that today’s Communication establishes the Commission’s strategic orientation, while the concrete legislative proposals expected next year will determine how these objectives are ultimately translated into practice. ESBG therefore looks forward to engaging constructively with the European institutions throughout the forthcoming legislative process. “Good intentions need to become good legislation. The upcoming legislative proposals need to match the ambition of today’s Communication, reducing complexity and overlaps for low-risk banks without weakening the framework’s resilience,”added Peter Simon. ESBG remains committed to working closely with the European Commission, the European Parliament and the Council to help shape a banking framework that enhances competitiveness, ensures an appropriate calibration of regulatory requirements, reduces unnecessary complexity and safeguards the diversity of the European banking landscape, including its savings and retail banks. About ESBG (European Savings and Retail Banking Group)ESBG represents the locally focused European banking sector, helping 32 members in 27 European countries strengthen their unique approach that focuses on providing service to local communities and boosting SMEs. Advocating for a proportionate approach to banking rules, ESBG unites at EU level some 859 banks, which together employ 620,000 people driven to innovate at 37,000 branches. ESBG members have total assets of € 6,35 trillion, provide € 3,72 trillion in loans to customers, and serve 163 million Europeans seeking retail banking services. ESBG members commit to further unleash the promise of sustainable and responsible 21st century banking. Contact:Ines ScacchiDirector of Regulatory Affairsines. scacchi@wsbi-esbg. orgPress Inquiries:Thomas Van de LeemputDirector of Communicationsthomas. vandeleemput@wsbi-esbg. org