Laprévote, François-Charles; Champsaur, Amélie --- "Hand in hand or parallel paths? Reflections on the future coexistence of State aid control and bank resolution in the EU" [2017] ELECD 1641; in Laprévote, François-Charles; Gray, Joanna; De Cecco, Francesco (eds), "Research Handbook on State Aid in the Banking Sector" (Edward Elgar Publishing, 2017) 538

Book Title: Research Handbook on State Aid in the Banking Sector

Editor(s): Laprévote, François-Charles; Gray, Joanna; De Cecco, Francesco

Publisher: Edward Elgar Publishing

ISBN (hard cover): 9781783478071

Section: Chapter 17

Section Title: Hand in hand or parallel paths? Reflections on the future coexistence of State aid control and bank resolution in the EU

Author(s): Laprévote, François-Charles; Champsaur, Amélie

Number of pages: 37

Abstract/Description:

This chapter looks at the relationship between the application of State aid rules under the new 2013 Commission Banking Communication and the resolution framework laid out under the Bank Recovery and Resolution Directive and the Single Resolution Mechanism Regulation. The parallel existence and implementation of these two legal frameworks (which often refer to each other) raises the issue of possible conflicts or inconsistencies, in particular with respect to preventative measures, burden-sharing or bail-in measures, and experts assessments of a bank’s viability or valuation. The chapter suggests a number of policy measures to ensure consistency in the implementation of the two legal frameworks.