EBA · 2023_6892 Rejected question

Exposures to a third-country credit institution located in United Kingdom

Regulation
Regulation (EU) No 575/2013 (CRR)
Article
107, para. 3
Topic
Supervisory reporting - COREP (incl. IP Losses)
Submitted by
Credit institution
Submitted
2023-09-22
Browse ECB SSM Register → More Q&As on this regulation →

Question

Can you please advise if United Kindgom, as a former member of EU, benefit from a special treatment with regards to article 107, paragraph 3 from Regulation 575/2013 (CRR) ? In addition, for branches located in UK of EU or third-countries credit institutions listed as equivalent, do they need to be considered as UK credit institutions anyway ?

Background

Basel on article 107, paragraph 3 from CRR, we understood that exposures to a third-country credit institution shall be treated as exposures to an institution only where the third country applies prudential and supervisory requirements to that entity that are at least equivalent to those applied in the Union. Eu decision 2021/1753 has provided the official list of third-countries considered as ''equivalent''. We are surprised to not find in this list the United Kindgom which is one of the main financial centers.
No answer published yet.

Original source: European Banking Authority, Q&A ID 2023_6892

This Q&A is published by European Banking Authority and is non-binding. It does not constitute legal advice. Updated weekly from official ESA sources.

Similar Q&As

Exposure to third country institutions and investment firms

Answered 2015-04-30

Treatment of recognised exchanges (non-third country vs. third country)

Answered 2014-10-03

Retail exposures of subsidiary / branch of an EU credit institution established outside the EU

Answered 2020-07-31

Credit Risk – treatment of Russian credit institutions

Answered 2017-02-10

Sectoral classification of UK credit institutions

Answered 2026-07-03

More Q&As on this topic

Validation rules taxonomy V4.0 C_47.00, C_43.00.a, C_43.00.b, C_43.00.c - v4456_m

Answered 2026-07-03

Threshold exemptions from deduction from Common Equity Tier 1 items – Reporting within CoRep C 07.00

Answered 2026-01-09

Calculation of Ideosyncratic and Systematic Risk

Answered 2026-01-09

Appropriate reporting of unconditionally cancellable commitments (UCCs) subject to transitional arrangements of Article 495d in CR SA (COREP C_07.00)

Answered 2025-12-05

C 25.01 - CREDIT VALUATION ADJUSTMENT RISK (CVA) – Col 0090 - Instruction Clarification

Answered 2025-12-05

📋 Track EU financial regulation continuously

Forseti monitors EU financial regulation and delivers personalised alerts anchored to verified official sources.

Start free trial → Learn more

14-day free trial. No credit card required.