40 Proposals for a Smarter Regulation
Published on 31 July 2025
The ABBL is pleased to present its public position paper on the simplification of the EU regulatory framework. Structured around five key policy recommendations and forty concrete proposals, this document is the result of an extensive internal consultation with ABBL members and reflects our determination to contribute constructively to European-level policy discussions.
By reducing unnecessary complexity and promoting more efficient, proportionate and innovation-friendly rules, we aim to support a robust and competitive financial sector — for the benefit of institutions, investors and society.
This publication will serve as a key reference in our advocacy efforts. We encourage all stakeholders to use and share it in their dialogue with European authorities.
A financial sector under pressure
In recent years, banks have been asked to assume growing responsibilities: from combating money laundering and tax evasion, to fighting cybercrime and supporting the green transition. While the financial sector embraces these roles, the accumulation of complex and overlapping regulatory obligations risks undermining its ability to deliver on them effectively.
The ABBL emphasises that this is not a call for deregulation, but rather a call for more proportionate, more coherent and smarter regulation that supports both investor protection and economic growth.
Five policy priorities for smarter regulation
In its new paper, the ABBL outlines five key policy areas where improvements could significantly enhance the efficiency and effectiveness of the EU regulatory framework:
- Policy coordination and alignment: Streamlining overlapping and conflicting obligations (e.g. AML vs instant payments, DORA vs CRA) to reduce compliance uncertainty.
- Proportionality and risk-based approaches: Avoiding one-size-fits-all models that overly burden smaller institutions and stifle market diversity.
- Data and reporting efficiency: Reducing duplication, harmonising definitions, and promoting once-only reporting principles.
- Competitiveness and innovation: Factoring in Europe’s global positioning when designing regulation, and fostering innovation via sandboxes and shared infrastructure.
- Market collaboration: Encouraging greater public-private dialogue to ensure that regulation remains practical, future-proof and grounded in market realities.
A constructive contribution to EU policy
The ABBL’s position paper – Proposals towards smarter financial regulation in Europe – includes around 40 detailed simplification proposals, covering banking regulation, financial markets, compliance, taxation, digital finance and sustainability. These recommendations are rooted in the practical experience of ABBL members, ranging from banks and payment institutions to investment firms and support service providers.
The ABBL believes that aligning regulatory simplification with the broader EU competitiveness agenda is essential to ensuring the long-term resilience and prosperity of Europe’s financial system.
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