Interpretation of consolidated prudential requirements

Reference to "consolidating prudential requirements" in Article 59(6) of Directive 2014/59/EU (BRRD) should be interpreted as relating to provisions of Regulation (EU) No 575/2013 (CRR) and Directive 2013/36/EU (CRD IV). However, any supplementary requirements under other relevant legislation should be considered as well. This may be the case for certain provisions in the Financial Conglomerates Directive (which contain or have an effect on consolidating prudential requirements) where a conglomerate is identified with a banking entity at its top level and, for instance, a significant insurance subsidiary. Disclaimer: This question goes beyond matters of consistent and effective application of the regulatory framework. A Directorate General of the Commission (Directorate General Financial Stability, Financial Services and Capital Markets Union) has prepared the answer, albeit that only the Court of Justice of the European Union can provide definitive interpretations of EU legislation. This is an unofficial opinion of that Directorate General, which the European Banking Authority publishes on its behalf. The answers are not binding on the European Commission as an institution. You should be aware that the European Commission could adopt a position different from the one expressed in such Q&As, for instance in infringement proceedings or after a detailed examination of a specific case or on the basis of any new legal or factual elements that may have been brought to its attention.