Proposals include governance reforms, expanded FINMA powers, and remuneration rules for banks deemed too big to fail.
Switzerland’s Federal Council has launched a consultation on tighter banking regulations targeting systemically important institutions. The reforms aim to strengthen governance, supervision, and crisis readiness following the collapse of Credit Suisse. Key measures include a senior managers regime for banks with at least 250 employees, requiring clear executive accountability and duty splits.
The proposals also introduce risk-linked pay principles across all banks, with retention periods and clawback provisions for top executives at systemic banks. FINMA, the financial regulator, would gain broader authority over remuneration and supervision. Some rules may extend to smaller lenders where necessary to avoid regulatory gaps.
These changes complement earlier capital requirements and seek to finalize the post-Crisis too-big-to-fail framework. The consultation period will assess industry feedback before potential implementation.