The European supervisory building, consisting of the ECB and 19 national supervisors, isn’t a single family home, but a large building complex; a structure that should be sturdy and stable, even in stormy conditions. Expectations of the developer European legislators and the public, too, expect the SSM to ensure a resistant, robust banking system in the euro area.
Supervision in Europe is rightly expected to be better than what 19 national supervisors could achieve with national means. The new system of supervision should be neutral and not wedded to national thinking and traditions. It should, where appropriate, produce a level playing field.