Law, Tax, Compliance
Competitiveness of the EU banking sector: ABBL to respond to European Commission consultation
Published on 24 February 2026
On 11 February, the European Commission launched a targeted consultation on the competitiveness of the EU banking sector. This is a not-to-be-missed consultation, one that the ABBL has been calling for years as the Commission is explicitly asking stakeholders where the regulatory framework “works in practice,” where it could be simplified, and whether existing rules and supervisory practices are creating unintended barriers to scale, cross-border activity, innovation, and the financing of the economy. This exercise is intended to feed into the Savings and Investment Union, a broader initiative aimed at improving capital flows across Member States and expanding financing options for businesses. As the representative body of Luxembourg’s banking sector, ABBL is coordinating the industry’s contribution to the consultation.
Summary
A key moment for the banking sector
At a time of intensifying global competition, Europe’s banks must play an even stronger role in supporting growth, innovation and investment, thereby contributing to the EU’s long-term competitiveness.
This is a not-to-be missed consultation for the EU Banking Sector, that we have been calling for years. The ABBL and its members are in motion to push for a competitive and risk-based regulatory framework.
Sandrine Roux
Secretary General, ABBL
ABBL mobilised
The ABBL will submit its response to the consultation by 19 April 2026 (EOD), reflecting the views and expertise of its members.
In parallel, the ABBL will contribute to the advocacy work carried out at the level of the European Banking Federation (EBF), ensuring that the specificities and structural characteristics of the Luxembourg financial centre are properly reflected in the European discussion.
This consultation takes place in a broader European context where regulatory simplification and competitiveness are increasingly at the forefront of policy discussions. As recently reported in our article on the European Banking Federation’s call for urgent simplification of Europe’s banking regulatory framework, industry representatives have underlined the need for a more coherent and proportionate framework that supports growth while preserving financial stability.
The ABBL continues to advocate for constructive and evidence-based improvements to the EU framework, in line with its long-standing commitment to smarter and more effective financial regulation.
Call for input
Members are invited to share their views and practical experience in order to support a strong and evidence-based contribution from the Luxembourg banking sector.
The European Commission’s consultation document is available here:
Alexandre Dias
Adviser – Financial Markets & ESG
Published on 24 February 2026