Output floor cliff edge effects threaten EU banks

- By Abdool Fawzee Bhollah and Louie Woodall
- 16 Apr 2020

The phase-in of the output floor on modelled capital requirements set by the Basel Committee may cause a sudden jump to top banks’ minimum charges in 2027, the last year of the transition.

The Basel III reform package mandates a five-year transitional period for implementing the output floor. The floor will be set at 50% of standardised capital requirements in 2023 and gradually move up to the

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact info@risk.net or view our subscription options here: http://subscriptions.risk.net/subscribe

You are currently unable to print this content. Please contact info@risk.net to find out more.

You are currently unable to copy this content. Please contact info@risk.net to find out more.

As outlined in our terms and conditions, https://www.infopro-digital.com/terms-and-conditions/subscriptions/ (point 2.4), printing is limited to a single copy.

If you would like to purchase additional rights please email info@risk.net

You may share this content using our article tools. As outlined in our terms and conditions, https://www.infopro-digital.com/terms-and-conditions/subscriptions/ (clause 2.4), an Authorised User may only make one copy of the materials for their own personal use. You must also comply with the restrictions in clause 2.5.

If you would like to purchase additional rights please email info@risk.net