Public consultation on amendments to the supervisory fees framework

Frequently asked questions

Why is the ECB reviewing this regulation?

The ECB Regulation on supervisory fees, adopted in October 2014, obliges the ECB to conduct a review, and the aim of the current consultation is to present its outcome. The review incorporates feedback provided in the 2017 consultation as well as comments by the national competent authorities and the ECB Supervisory Board.

What exactly is the ECB going to do with the comments that it receives?

Once the public consultation concludes on 6 June 2019 the ECB will assess the comments received during the process. The amendment to the Regulation will then be adjusted as considered necessary. Please note that comments are only being sought regarding the amendment to the Regulation in Section 5 of the feedback statement.

What was the total number of comments received during the public consultation in 2017? Who submitted these comments?

The ECB received a total of 73 individual comments in 13 submissions, which came from eight banking associations, four supervised entities or groups and one other market participant.

Comments from those respondents who agreed to have their feedback published

What effects will the changes have on the annual SSM feeing timeline?

The table below shows the dates and deadlines under the current framework and how they would change under the proposed framework.

Key dates and deadlines Current method for fee period 2019 Proposed amendment
for fee period 2020
Reference date for factors that affect fees for entities est. before 1 January of the fee period 31 December 2018 31 December 2019
Deadline for nominating fee debtor (for banking groups only) 1 July 2019 30 September 2020
Deadline for providing contact details of fee debtor 1 July 2019 Whenever a change occurs
Deadline for submission of fee factors/Cut-off date for reusing supervisory data 1 July 2019 To be established in the amended ECB Decision
Publication of total annual supervisory fee 30 April 2019 End of March 2020 for estimates and end of March 2021 for actual expenditures
Issuance of fee notice October 2019 June 2021
Payment deadline November 2019 July 2021

How will the supervisory fees for 2019 be determined?

The annual supervisory fees for 2019 will be calculated using the current methodology laid out in the Regulation on supervisory fees. More information on the timeline, relevant deadlines and practical information can be found in the Supervisory fees section of the ECB Banking Supervision website.

What happens in the transition year 2020? Will my bank be subject to a double fee in 2021?

As 2020 is a transitional year, no supervisory fees will be invoiced for that year until 2021. The fees for the actual costs incurred for banking supervision tasks for the financial year 2020 will be collected in the first half of 2021. In addition, in order to transition from an ex-ante collection to an ex-post collection of fees, the surplus or deficit that arises in the period 2019 will also be collected in 2021 along with the actual costs for the financial year 2020. The ECB will provide an estimate of 2020 annual supervisory fees in the ECB Annual Report on supervisory activities that will be published in March 2020.

Will these changes affect the total amount to be levied by the ECB?

No. The total amount levied by the ECB is based on the costs incurred by the ECB in the completion of its supervisory tasks and will not change as a result of this review. The individual fees for banks that are indirectly supervised by the ECB (LSIs) will, however, be affected by the discount offered to the smallest of those banks.

Does this mean that there will be no need to recalculate the previous year’s fees?

This cannot be entirely ruled out. Although it is expected that the number of recalculations each year will be reduced with ex-post invoicing, these recalculations may still take place given the unavoidable time difference between changes occurring (for example changes of supervisory status due to mergers) and the notification of such changes to the appropriate teams.

What other legal instruments are affected by this review?

The ECB will amend its Decision ECB/2015/7, in parallel with the amendment of the Regulation, by the end of 2019. The decision lays down the methodology and procedures in relation to fee factor collection and will therefore need amending as a result of the review.

When exactly will the amendments to the regulation enter into force for the calculation of the annual supervisory fees?

We expect the amendment to the Regulation to enter into force at the end of 2019 and to apply from the 2020 fee period onwards. Officially, it will enter into force 20 days after it is published in the Official Journal of the European Union.