Europe set to delay Basil bank trading rules by a year, Bloomberg reports

The European Union is set to delay key parts of global bank capital rules by a year, so that the bloc’s lenders will not be disadvantaged by continued wrangling over the standards in the U.S., Bloomberg’s Laura Noonan, Sonia Sirletti, and Steven Arons report, citing people familiar with the matter. The EU was due to implement the wider package starting Jan. 1, some seven years after the measures were agreed by regulators on the Basel Committee on Banking Supervision as the final part of rulemaking designed to prevent a repeat of the 2008 financial crisis, the authors note. The EU now plans a later implementation for rules that affect banks’ trading businesses, since those activities are global in nature, said the people familiar with the matter. Publicly traded companies in the space include Banco Santander (SAN), Barclays (BCS), Deutsche Bank (DB), HSBC (HSBC), ING Groep (ING), Lloyds Banking (LYG), RBS (RBS), UBS (UBS), Bank of America (BAC), Citi (C), Goldman Sachs (GS), JPMorgan (JPM), Morgan Stanley (MS), U.S. Bancorp (USB) and Wells Fargo (WFC).