Guidelines on the specification of measures to reduce or remove impediments to resolvability and the circumstances in which each measure may be applied under Directive 2014/ 59/EU

These guidelines complete the set of EBA regulatory deliverables on resolution planning and resolvability assessment. Where resolution authorities identify in their assessment of the resolvability of an institution or group substantive impediments to liquidation in normal insolvency proceedings or to the feasible and credible implementation of resolution powers, Article 17 of Directive2014/59/EU sets out procedural and substantial rules for the reduction or removal of these impediments. As a first step the institution or group is required to propose possible measures to address the impediments identified by the resolution authorities. If the proposed measures do not effectively reduce or remove the impediments, the resolution authorities will require lternative measures in the second step. In selecting appropriate measures, resolution authorities have wide discretion. These guidelines do not limit this discretion, but specify further details on the list of measures specified in Article 17(5) of Directive 2014/59/EU and on the circumstances in which each measure may be applied. Therefore, these guidelines do not prescribe or prefer certain business models or organisational structures and allow for a case-by-case analysis of the impediments caused by an institution or group and of the best way to address them.