Seeing red: EU banks swamped by stress test demands

Banks’ stress test submissions receiving tens of thousands of error messages from local supervisors

European stress-testing managers have been raiding their home freezers for pots of vanilla ice cream as they come to terms with rejections from their local supervisors.

For the last five months, European banks have been labouring to complete this year’s region-wide stress test. But imperfect data is causing supervisors to send tens of thousands of error messages to stress-testing managers that need to be resolved before the final submission date in late October. Meanwhile, some banks have strug