However, we expressed concern that some outlier banks imposed variable rates considerably above their peers and that this could affect arrears levels. It is encouraging to see that following this debate some steps have been taken to revise rates by those banks at the top of the market. But it would seem that there is still scope for further progress.
I will touch on three issues: First, I will explain why making banks resolvable is central to the objectives of the ECB. I will then counter the attractive metaphor of the regulatory pendulum, swinging towards looser regulation. Finally, I will address the elephant in the room called “Fury”, or funding in resolution.