Skip to content
Banking Rule Book
Text applicable on 7 Oct 2026Consolidated version of 1 Jan 2023In forceUpcoming changefrom 1 Jan 2027Unofficial text · authentic on EBA (PDF) (opens in a new tab)

GL-SREP paragraph 581 — as applicable on 7 Oct 2026 (version of 1 Jan 2023)

Upcoming changeThis provision is amended or removed from 1 Jan 2027.View that version

10.6

Supervisory reaction to a situation where TSCR or OCR is not met

580.

TSCR is a legally binding requirement that institutions have to meet at all times, including in stressed conditions. If TSCR set in accordance with these guidelines is no longer met, the competent authorities should consider additional intervention powers in accordance with Directives 2013/36/EU and 2014/59/EU, including withdrawal of authorisation in accordance with Article 18(d) of Directive 2013/36/EU, application of early intervention measures in accordance with Article 27 of Directive 2014/59/EU and resolution actions in accordance with that Directive. When exercising those powers competent authorities should consider whether measures are proportionate to the circumstances and their judgement on how the situation is likely to develop.

581.

A breach of TSCR should also be considered in determining if an institution is failing or likely to fail in accordance with Article 32(4)(a) of Directive 2014/59/EU and the EBA Guidelines on the interpretation of the different circumstances when an institution shall be considered as failing or likely to fail, as it is one of the conditions under which the competent authorities may withdraw authorisation in accordance with Article 18(d) of Directive 2013/36/EU.

582.

Competent authorities should also monitor whether the institutions meet the OCR. Where necessary, competent authorities should take measures to ensure that institutions comply with requirements set out in Articles 141 to 142 of Directive 2013/36/EU.