'No-deal' Brexit would add risk weights to EU government bonds

UK banks face capital charges for risky European Union sovereign exposures following a 'no-deal' Brexit, according to a newly published government proposal. 

Currently, the EU’s Capital Requirements Regulation (CRR) applies a 0% risk weight to EU government bonds under the standardised approach to credit risk, and also allows all banks – even those using internal models for other types of credit risk – to use the standardised approach for sovereign exposures. This means EU banks can currently

To continue reading...

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: