Some countries have made far more progress on this score. Spanish banks, for instance, rolled back their branch networks by a third. There’s probably no getting around a degree of further consolidation in Germany, because the sector there still has slack dating back to the pre-financial 3/7  BIS central bankers' speeches  crisis era.
However, incorporating feedback into the stress test framework may require simplifying aspects of the framework to a point where it is less able to capture the risks to individual institutions.