EBA Launches Four Public Consultations on Revised Deposit Guarantee Schemes Directive

On 23 July 2026, the European Banking Authority (EBA) formally launched four public consultations on proposed regulatory rules intended to further strengthen depositor protection, safeguard financial stability, and deepen the harmonization of depositor protection standards across the European Union. These regulatory proposals are structured under the revised Deposit Guarantee Schemes Directive, commonly designated as DGSD3. Stakeholders across the European banking and financial services sector have been invited to submit their feedback across four distinct regulatory products, with the consultation window remaining open until 23 October 2026.

The newly initiated consultations form part of the implementation of the revised Deposit Guarantee Schemes Directive (DGSD3), which was adopted in 2026. This updated directive significantly strengthens the European Union framework governing bank crisis management by enhancing depositor protection mechanisms and further harmonizing regulatory rules across Member States. DGSD3 incorporates over 100 operational improvements, many of which stem directly from comprehensive recommendations issued by the EBA between 2019 and 2021.

Under the statutory mandates of DGSD3, the EBA is officially tasked with developing a total of 12 Technical Standards and Guidelines designed to support the consistent and effective implementation of the revised framework across the Union. The four consultation papers published today represent the first official batch of these required regulatory products.

The current consultation package addresses four critical pillars of the revised deposit guarantee framework: Implementing Technical Standards (ITS) on depositor information, ITS on information exchange between credit institutions, Deposit Guarantee Schemes (DGSs) and other relevant authorities, Regulatory Technical Standards (RTS) on the treatment of client funds protection standards across the EU, and Guidelines outlining how DGSs should invest funds collected from the industry.

Each regulatory product targets specific operational vulnerabilities and aims to standardize practices across national jurisdictions without imposing disproportionate administrative burdens on regulated institutions.

The draft ITS concerning depositor information establish harmonized content and formats for the depositor information sheets that must be provided to customers at account opening and on a regular basis. Furthermore, these standards set clear requirements for communications directed at depositors during specific operational events, such as bank mergers or actual bank failures. The core objective of these proposals is to meaningfully improve depositors' overall awareness of coverage levels while preserving operational flexibility for institutions.

Simultaneously, the draft ITS on information exchange introduce standardized procedures, operational templates, and minimum requirements governing information flows during bank failure scenarios. These standards enhance reporting mechanisms from DGSs to the EBA regarding covered deposits and available financial means, define the exact information to be reported by relevant authorities during bank failures, and improve overarching transparency concerning the utilization of DGS funds. The entire framework draws upon established best practices to guarantee that reported data remains accurate, timely, and proportionate.

Addressing the complex mechanics of intermediary accounts, the draft RTS on client funds establish robust rules ensuring that Deposit Guarantee Schemes receive the requisite data needed to accurately identify and reimburse clients whose funds are held in intermediary accounts. These regulatory standards explicitly clarify the precise conditions under which reimbursements should be executed directly to underlying clients versus through the intermediary account holder, alongside establishing safeguards to prevent duplicate payouts.

These measures are designed to ensure consistent protection standards, enhance operational efficiency, and deliver legal certainty throughout the European Union. Concurrently, the draft Guidelines on the investment of available financial means dictate how DGSs are permitted to manage and invest accumulated funds, ensuring strict adherence to principles of portfolio diversification, low risk profiles, and sufficient liquidity. These specific proposals reinforce the capacity of DGSs to rapidly mobilise financial resources not only for standard depositor reimbursements but also to support bank resolution procedures and other statutory interventions authorized under DGSD3.

Industry participants, regulatory authorities, and interested stakeholders can submit formal comments on all four consultation papers directly through the EBA web pages by utilizing the designated comment submission feature prior to the 23 October 2026 deadline.

All contributions received during the consultation period will be made publicly available after the closing date, unless respondents explicitly request confidentiality. To facilitate stakeholder engagement, the EBA has scheduled a public hearing covering all four regulatory products, which will take place on 24 September from 10:00 to 13:00 CEST. Registration for the public hearing is currently open, with an absolute registration deadline set for 21 September 2026 at 12:00 CEST.

Watch for the registration deadline for the public hearing on 21 September 2026 at 12:00 CEST, the subsequent public hearing on 24 September 2026, the final closure of the four public consultations on 23 October 2026, and the subsequent publication of stakeholder contributions by the EBA as the regulatory process advances toward finalizing the remaining technical standards mandated under DGSD3.

Source: European Banking Authority

The Bankers Bulletin · Published by Tetmo Publishing
Subscribe · Group pricing available