Complementary cost-benefit assessment on the Integrated Reporting Framework - Closer alignment with FINREP solo

Complementary cost-benefit assessment on the Integrated Reporting Framework ?

Metadata

Provider:

ECB

URL:

https://www.ecb.europa.eu//pub/pdf/other/ecb.cba_iref_theme3_202403~89974e145a.en.pdf

Retrieved on:

Vendredi, avril 5, 2024

Information

Geotags:

PARIS, EU, SWEDEN, GERMANY

Résumé

Key Points:

Complementary cost-benefit assessment on the Integrated Reporting Framework ?
Executive summary
2

towards closer alignment of the two frameworks, rather than implementing all
changes at once.
Complementary cost-benefit assessment on the Integrated Reporting Framework ?
Executive summary
3

1

Introduction
The complementary IReF cost-benefit assessment (CBA) followed an earlier
consultation on an initial CBA that was launched in 2020.
The report summarises the feedback received from the banking industry on the
possible closer alignment of the IReF with FINREP solo.
Complementary cost-benefit assessment on the Integrated Reporting Framework ?
Introduction
4

2

General question on closer alignment
with FINREP solo
Closer alignment between the IReF and FINREP solo could allow more substantial
use of the IReF dataset for supervisory purposes, with the potential benefit of
reducing ad hoc requests to reporting agents due to a more analytical and stable
dataset.
The ECB legal framework for collecting FINREP solo information (Regulation (EU)
2015/34)4 currently sets up four different levels of reporting for proportionality
measures:
?
FINREP data points;

?

over-simplified FINREP;

?

simplified FINREP;

?

full FINREP.
Closer alignment does not mean that data
under the IReF will be collected from reporting agents at the level of the legal entity
in its entirety.
Complementary cost-benefit assessment on the Integrated Reporting Framework ? General
question on closer alignment with FINREP solo
5

Chart 2.1
General assessment on closer alignment between the IReF and FINREP solo

Notes: The percentages are calculated for each driver as the simple average of the corresponding frequencies across euro area
countries.
See Annex B of the report ?Complementary cost-benefit assessment of the Integrated Reporting Framework ? Extension of
the IReF Regulation to cover country-specific requirements? published on the ECB?s website for information on how national results
are calculated.
Members also raised the point that IReF
information required for closer alignment with FINREP solo would only be collected
from institutions that are currently subject to FINREP solo reporting.
The open text comments that were received in the complementary CBA show that
different approaches to reporting at the level of the reporting agent may result in
different expectations regarding closer alignment.
There
were also several comments regarding the frequency and timeliness of the reporting
of attributes needed for closer alignment with FINREP.
Many comments questioned which accounting standards will underpin IReF
reporting, as those applicable to statistical reporting are often different from those
relating to FINREP solo reporting.
Complementary cost-benefit assessment on the Integrated Reporting Framework ? General
question on closer alignment with FINREP solo
7

3

Extensions related to concepts already
available in the IReF baseline scenario
The IReF baseline scenario includes several accounting concepts that only apply to
specific financial instruments.
See
Annex B of the report ?Complementary cost-benefit assessment of the Integrated Reporting Framework ? Extension of the IReF
Regulation to cover country-specific requirements? published on the ECB?s website for information on how national results are
calculated.
See
Annex B of the report ?Complementary cost-benefit assessment of the Integrated Reporting Framework ? Extension of the IReF
Regulation to cover country-specific requirements? published on the ECB?s website for information on how national results are
calculated.
See
Annex B of the report ?Complementary cost-benefit assessment of the Integrated Reporting Framework ? Extension of the IReF
Regulation to cover country-specific requirements? published on the ECB?s website for information on how national results are
calculated.
See
Annex B of the report ?Complementary cost-benefit assessment of the Integrated Reporting Framework ? Extension of the IReF
Regulation to cover country-specific requirements? published on the ECB?s website for information on how national results are
calculated.
See
Annex B of the report ?Complementary cost-benefit assessment of the Integrated Reporting Framework ? Extension of the IReF
Regulation to cover country-specific requirements? published on the ECB?s website for information on how national results are
calculated.
See
Annex B of the report ?Complementary cost-benefit assessment of the Integrated Reporting Framework ? Extension of the IReF
Regulation to cover country-specific requirements? published on the ECB?s website for information on how national results are
calculated.
See
Annex B of the report ?Complementary cost-benefit assessment of the Integrated Reporting Framework ? Extension of the IReF
Regulation to cover country-specific requirements? published on the ECB?s website for information on how national results are
calculated.
See
Annex B of the report ?Complementary cost-benefit assessment of the Integrated Reporting Framework ? Extension of the IReF
Regulation to cover country-specific requirements? published on the ECB?s website for information on how national results are
calculated.
Complementary cost-benefit assessment on the Integrated Reporting Framework ? Annex A
Results by type and size of respondent
57

? European Central Bank, 2024
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