European banks boost crisis readiness, SRB report finds
The Single Resolution Board (SRB) published its 2025 Annual Report today, highlighting significant progress in making the European banking sector more resolvable and resilient. The report details the implementation of the SRM Vision 2028 strategy.
New tools for bank resilience
In 2025, the Single Resolution Board (SRB), in close collaboration with National Resolution Authorities, significantly advanced its efforts to bolster the resolvability of the European banking sector.
A cornerstone of this progress was the establishment of a comprehensive testing framework designed to rigorously assess banks' capacity to manage and recover from crises.
For the first time, this framework included the launch of on-site inspections, allowing for direct, in-depth evaluations of banks' operational readiness and resolution capabilities.
Furthermore, the SRB introduced a new Risk Appetite Framework, providing a clearer structure for managing risks within resolution planning.
Concurrently, the Resolution Planning Cycle was simplified, making resolution plans more efficient, practical, and adaptable to evolving financial landscapes.
These strategic enhancements are integral to the SRM Vision 2028 strategy, which aims to ensure that European banks are not only resilient but also resolvable without recourse to taxpayer money, thereby strengthening overall financial stability across the Euro area and beyond.
A decade of resolution efforts
Throughout 2025, robust cooperation remained a critical pillar of the SRB's mandate, fostering strong ties with National Resolution Authorities, the European Central Bank, and key international bodies such as the Financial Stability Board.
This collaborative approach was essential for harmonizing resolution strategies and sharing best practices across jurisdictions, reinforcing the collective capacity to address systemic risks.
SRB Chair Dominique Laboureix highlighted the significance of 2025, which marked the 10th anniversary of the Single Resolution Mechanism (SRM).
Laboureix reflected on this milestone, stating, "This was a good opportunity, not only to reflect on the progress made towards building a credible and effective framework for bank resolution, but also to look forward to strengthening our capacity to deal with the challenges that lie ahead.
" This anniversary served as both a celebration of past achievements and a forward-looking commitment to continuous improvement in the face of future financial complexities.